Since 2021, major passive component (passive device) manufacturers YAGEO and UNIOHM, have maintained a slow increase in their capacity utilization rate due to the difficulty of recruitment. Since the beginning of this year, with the increasing demand for MLCC and chip resistors in 5G industry-related applications and new energy vehicles, the market is optimistic that the trend of rising prices of passive components has gradually formed.

RALEC raised the price of thick film resistors on the mainland by 15% in February this year, and markets such as Yageo and Huaxin Technology are expected to follow suit. In 2021, China expects that 40% of mobile phone users will switch to 5G mobile phones, and demand for 5G mobile phones will increase. Shipment volume is expected to double in 2021. Driven by the increasing demand in the automotive electronics market, the global market for passive components is expected to have an annual growth rate of 11%.

It is estimated that the scale of global MLCC can increase by 10% this year, and the total proportion of communication equipment, smart phones, and automobiles can reach 60%. The demand for MLCC of 5G smartphones will increase by 30%~50% compared with 4G mobile phones. The number of base stations covered by 5G network is 1.2 to 1.5 times that of 4G. The average usage of 5G base station MLCC is 3 times that of 4G base station, and the average usage is about 15,000. . New energy vehicles and automotive electronics also drive the demand for automotive MLCC.