Taiwan Semiconductor Inspection Company COVID-19 Cluster Infection... Concerns Over Worsening Supply Shortage Crisis

Photo by AFP Yonhap News

[Asia Economy Reporter Park Byung-hee] A major semiconductor testing company in Taiwan has experienced a COVID-19 cluster infection. This could potentially worsen the semiconductor supply shortage crisis.

Bloomberg reported the news and expressed concerns that it could exacerbate the semiconductor shortage situation.

King Yuan Electronics Co., Ltd. (KYEC), a world-leading semiconductor testing company, halted operations at its Miaoli County factory starting the afternoon of the 4th. This was due to a large number of factory employees being confirmed infected with COVID-19.

According to the Taiwan Centers for Disease Control, as of the 5th, 182 COVID-19 cases were confirmed at this factory. The majority of the confirmed cases were foreign workers, who make up about 30% of the total factory workforce. Taiwanese authorities have imposed a two-week quarantine on approximately 2,000 foreign workers.

From the night of the 6th, KYEC has partially resumed factory operations by deploying domestic employees. A KYEC spokesperson stated, "Once the foreign workers return within two weeks, the company will accelerate production to compensate for losses."

In a statement, KYEC announced that it expects production and sales in June to decline by approximately 30 to 35%.

Taiwanese semiconductor companies are key suppliers in the global semiconductor market. KYEC is known as the world's largest pure semiconductor testing specialist company, with major global semiconductor manufacturers as its clients.

This content was produced with the assistance of AI translation services.