Quarter 3 Electronic Component Market Conditions Update

Is the contraints story real? Why yes, it is! Every day our purchasing department, along with every purchasing department in the EMS Industry, is working diligently to ensure components are available to continue the production of our customer’s products. Changing prices and availability by the hour is not an uncommon phenomenon. The material constraint has not left one country or one consumer untouched. There will not be much relief experienced with continued demand, Covid shutdowns, transportation challenges, and increase pricing. As Burton Industries continues to look forward to problem-solving solutions, our customers continue to move their products to market.

Attached is a summary of component lead times and pricing trends referenced from the “Future Market Conditions Report” for Quarter 3, 2021.

-Batteries:  Stable pricing and stable lead times 16-24 weeks

-Connectivity:

               -Wi-Fi Modules: Mix of stable pricing with some increased lead times: 20-30 weeks

               -Bluetooth Modules: Increase pricing with significant increase in lead times: 24-52 weeks

-Discretes: Pricing and lead times increasing across the board.

-Electromechanical:

               -Switches: Stable pricing and lead times 10-24 weeks

               -Fans: Mix of increased pricing with stable lead times 12-26 weeks

-High End:

               -Microchip: No change on lead time and continued increased pricing for MCU (8 bit & 32 bit), PHY/Ethernet, USB,  and 32 bit MPU 30-55 weeks

               -NXP: Pricing increase for 8 bit MCU, Automotive, and Network Processors. Increase in lead times for all above including 32 bit MCU. Automotive allocation and 26-52 weeks on the rest.

               -Renesas: Stable lead times and pricing Automotive, increase of lead times and pricing on 8 bit MCU, stable lead times with increased pricing for 32 bit MPU, and increased lead times and steady pricing for 32 bit MCU. Average lead times 30 weeks

               -STI: Allocation on 8 bit MCU, Automotive, and 32 bit MCU with increased pricing. 32 bit MPU has increase in lead time and pricing  20-26 weeks

Passives:

               -Trimmers & Pots: increased pricing and lead times 10-20 weeks

-Electrolytic: Significant increase in lead times with increased pricing. Lead times 18-49 weeks

-Capacitors (film): Mix of stable pricing with stable lead times of 12-36 weeks

-Capacitors (tantalum): Mix of stable pricing with increased lead times  20-50 weeks

-Capacitors (polymer tantalum): Mix of stable pricing with mix of lead times 20-30 weeks

-Filters: Mix of stable pricing and increased lead times 20- 26 weeks

-Inductors: Mix of stable pricing and increased lead times 14-40 weeks

-Fixed Resistors: Increased pricing and stable lead times 30-52 weeks

-Resistor Networks: Increased pricing and stable lead times 15-40 weeks

-Surface Mount General Capacitors (ceramic):  Overall, pricing steady with lead times of 20-28 weeks

At Burton Industries, our team continues to look at alternative solutions to all component shortages. If we cannot source the part due to availability, price, or lead time; we look at additional vendors outside our supply chain. If we continue to have issues, we issue an ECR (Engineering Change Request). Our engineers will work with your engineers to redesign and engineer the PCB assembly. The goal with an ECR is to change the engineering of the product to ensure the components needed are available and there is no compromise to the quality of the product.

#burtonems #burtonindustries #contractmanufacturing #supplychain #pcbausa #ems

Quarter 2 2021 Burton Industries Newsletter

Quarter 2 Electronic Component Market Conditions Update

We have all read and heard about the supply chain issues over the past few months. Now, the reality is setting in with shortages and allocations. These shortages did not start with the pandemic but have been coming for some time. And these shortages are not going to end any time soon. It will take billions of dollars of investment in infrastructure to expand production. The root cause changes with every article you read, the podcast you listen to, or the daily newscast. The concepts of legacy supply chain principles are no longer relevant. Lean inventory, Just-in-time Inventory Management, and Kanbans are becoming obsolete in many industries.

No matter the blame, we look forward to the future and produce solutions. Here at Burton Industries, we lose sleep over our customer’s success and future growth. We are pivoting quickly from legacy supply chain principles to resilient supply chain practices. Let us guide you through this strained time. We will keep you moving forward and put plans in place for future projects.

Attached is a summary of component lead times and pricing trends referenced from the “Futures Market Conditions Report” for Quarter 2- 2021.

-Discretes: Pricing and lead times increasing across the board.

-Surface Mount General Capacitors (ceramic):  Overall, pricing steady with lead times of 18-48 weeks

-Passives: Mix of increasing pricing and lead times with many moving into the red category.

               -Trimmers & Pots: increased pricing and lead times 10-12 weeks

-Electrolytic: Increasing lead times with a mix of increased pricing. Lead times 14-32 weeks

-Capacitors (film): Mix of stable pricing with stable lead times of 10-36 weeks

-Capacitors (tantalum): Mix of stable pricing with increased lead times  4-46 weeks

-Capacitors (polymer tantalum): Mix of stable pricing with mix of lead times 20-30 weeks

-Filters: Mix of stable pricing and increased lead times 20- 40 weeks

-Inductors: Mix of stable pricing and increased lead times 12-30 weeks

-Fixed Resistors: Increased pricing and increased lead times 30-52+ weeks

-Resistor Networks: Increased pricing and increased lead times 15-40 weeks

-Batteries:  Stable pricing and stable lead times 8-38 weeks

-Electromechanical:

-Switches: Mix of stable pricing with increased lead times 10-18 weeks

-Fans: Stable pricing with mix of increased lead times 12-24 weeks

-Connectivity:

               -Wi-Fi modules: Increase pricing and increased lead times 24-30 weeks

               -Bluetooth modules: Mix of stable pricing with increased lead times 16-30 weeks

High End:

               -Microchip: Lead time and pricing increases for MCU (8 bit & 32 bit), PHY/Ethernet, USB, and 32 bit MPU 30-55 weeks

               -NXP: Pricing increase for 8 bit MCU, Automotive, 32 bit MPU, and Network Processors. Increase in lead times for all above including 32 bit MCU. Automotive allocation and 26-52 weeks on the rest

               -Renesas: Stable lead times and pricing Automotive, increase of lead times and pricing on 8 bit MCU, increasing lead times with steady pricing for 32 bit MCU, and steady lead times and increased pricing for 32 bit MPU. Average lead times 30 weeks

               -ST: Increased pricing and lead times for 32 bit MCU and allocation for 8 bit MCU, 32 bit MCU, and Automotive.

Our supply chain team is reviewing contraints reports daily to ensure fast action as conditions change. When new contraints are identified, purchasing, program management and engineering review options for alternate suppliers and/or substitutes. Watch our blog for further updates on trends and the tools we are using to address availability issues and pricing increases.

February Work Anniversaries

We have had a great start to 2022 and we continue our success by celebrating February’s work anniversaries!

Burton EMS Accepts 2021 Business of the Year Award

Burton EMS had the pleasure of accepting the Ironwood Chamber of Commerce’s Business of the Year award for 2021. We could not have done it without our dedicated employees, customers, and the foresight of our management team! For the full presentation, visit http://ow.ly/tyZh50HIHIh.

IPC Training Comes to Burton EMS

BEST’s Mobile Training Center, which houses a mobile solder training lab, has made our parking lot it’s home over the past two weeks. Three employees attended two days of solder training, and six employees attended five days of IPC Certification in IPC-7711/7721 (rework & repair). IPC Certification, or Institute for Printed Circuits, is a certification that sets the industry standard for excellence in the electronics industry. IPC is a global association for the electronic manufacturing industry. An investment in employee training and certifications ensures we can provide superior service and value to every customer in order to enhance their success and their position in the marketplace.

http://www.burtonems.com

#burtonems #ems #pcbausa #contractmanufacturer

We start the new year with work anniversaries to celebrate!

Congratulations Jess on Your Promotion!

2021 Quarter 4 Newsletter

Welcome to Burton’s last quarterly newsletter of the year! We have had plenty of happenings here at Burton this year. Read about our latest in new branding, our community involvement, and our continued focus on expanding our business to better meet our customer’s needs. If you’d like to stay up to date on the happenings here at Burton, please follow us on LinkedIn, Facebook, and/or our Blog for up-to-date news. Everyone here at Burton wishes you and your families a very Happy Holiday Season!

KOHYOUNG Solder Paste Inspection (SPI) Unit Added to SMT Line

The KOHYOUNG Solder Paste Inspection (SPI) unit is the newest equipment addition to the SMT line. The SPI inspects for correct stencil design, measurement of board warp, solder paste application, and coplanarity from the screen printer. The SPI inspects every board from the screen printer, and any defect is quickly identified. The average amount of defects from the screen printer is 85%. The equipment additions will ensure Burton can stay productive, flexible with production schedules, and keep up with demand from current and future customers.

Thank you to all of our employees who are celebrating their work anniversaries this quarter!

Burton Industries is Now Burton Electronics Manufacturing Services

Same Great Ownership and Management..Just a New Look

Nordson Dage X-Ray Component Counter Added to Production Floor

The capital investments in equipment continue to develop at Burton Industries. The newest equipment to be added to the production floor is The Nordson Dage X-Ray Component Counter. This x-ray counter ensures counting accuracy of >99.9%, which minimizes stock, labor, errors, and costs. The addition of this component counting tool ensures traceability, decreases the cost associated with incorrectly or not counted components, and improves efficiency on the SMT Line and the Inventory Department. Employees count component reels and tubes in seconds versus minutes.