The growths of automotive and industrial applications have boosted demand for IC packaging materials such as leadframes, according to industry sources.
IDMs remain relarively optimisitc about mid- to long-term outlook, the sources added.
In addition to Infineon, STMicroelectronics, Onsemi, and Rohm Semiconductor, more power semiconductor suppliers are leaning toward modular products, spurring demand for customized leadframes used in IC packaging. According to the estimates of Taiwan-based leadframe makers SDI and Jih Lin Technology, more than 40% of their revenues in 2022 would source from car-grade products.
Chang Wah Technology (CWTC) is a major supplier of IC packaging leadframes. It plans to raise quotes in the second quarter of 2022 to reflect rising costs. It estimates the ratio of consumer electronics to its revenue would drop below 40% by the end of this year. Automotive applications and industrial control units contributed 35% and 18% to its first-quarter revenue, the company said.