How MPE Electronics is managing the global component shortage

Jun 1, 2021Company News, Quality & compliance

How MPE Electronics is managing the global component shortage

A global shortage of electronic components is affecting electronic product and PCB manufacturers around the world, including MPE Electronics. As a result, we are putting in place measures to manage the shortage for our customers.

The shortage is impacting supply chains, lead times and pricing. The principal causes are the increase in electric vehicle manufacturing and the growth of green energy industries. Both sectors are expanding quickly as governments and the private sector work to meet decarbonisation targets.

The Covid-19 pandemic is also a major factor in the shortage. The pandemic continues to disrupt manufacturing and supply chains. At the same time, it is driving huge demand for new electronic products as people continue to work, study and play at home.

The impact of the component shortage and how it is being fixed

What this all means for electronic product and PCB manufacturers is that it is becoming increasingly difficult to source components in the volumes required. The growing imbalance between supply and demand is driving up component prices and companies are being forced to extend product lead times.

Component manufacturers are increasing production to meet the build-up in demand and to end the shortage. However, this rebalancing will take some time. These companies are also planning to expand manufacturing capacity in order to avoid future shortages. In the meantime, electronic product and PCB manufacturers must manage the shortage.

How is MPE Electronics managing the global shortage?

MPE Electronics always carry a large stock of components, but we are taking extra steps to mitigate the impact of the global shortage and help ensure that we continue to supply our customers.

Firstly, we are working with our customers to build our stock levels. We are providing them with regular updates on the situation and meeting with them to get the clearest possible picture of their component needs. By forecasting orders and with support from our customers, we can meet short- and medium-term component needs.

Secondly, rather than scheduling smaller orders over the coming months, in 2021 and beyond, we are bringing in components in large volumes at the beginning of PCB contract cycles. We are also working to manage a global shortage in copper, which is directly impacting PCB manufacturers, and similar shortfalls in other metals and cardboard, with the latter being caused by the huge increase in online shopping during lockdowns.

At present, it is difficult to predict exactly when the global electronic components shortage will ease, but we are well prepared and we are working hard to absorb the impact as much as possible.

To find out how MPE Electronics PCB manufacturing and assembly services can benefit your business, contact us on +44 (0)1825 764822 or

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