Thatcham, UK - EMS has today been advised, via UK franchised distributor of ST Microelectronics, that;
"ST will officially close their books on order entry for microcontroller deliveries for 2017 at the end of July. They have confirmed that those who have firm orders placed before 30th July will receive some stock around Q4/ Q1-18.
But P/O’s placed after July 30th will get no confirmation of delivery date and will be unlikely to get stock until June next year. We will not be able to ask to pull in stock or help to improve with delivery.
This has been caused by ST booking a massive order from a customer which will push their order book production capacity to over 120% .
It is therefore imperative that backlog for Q3 / Q4 is in position for these customers by July 31 or there is no hope of delivery this year."
EMS has been advised that this only relates to the microcontroller parts, for example components with the prefix STM.
At the time of writing there are no details on whether any other manufacturers will follow the same path, however;
- As there is likely to be high demand for ST Microelectronics parts in the short term.
- Leading to medium to long term availability and delays.
Then there will start to be a change over to drop in or re-design replacements which could apply lead time pressure to a range of manufacturers.
This decision by ST Microelectronics also means, that as lead times increase on the key lines, opportunities will appear for counterfeit components to enter the marketplace.
Extreme caution should be applied when dealing with unknown or grey market suppliers offering stock in such situations.
How EMS Can Help
If your products include ST Microelectronics then you need to take action today!
EMS can support you by putting in place call-off or buffer stock arrangements to secure order coverage for late 2017 and early 2018. With stock held at EMS and/or distributors, ring fenced, for you.
EMS is currently reviewing all ST Microelectronics components with STM prefixes and contacting customers where applicable.
If you think EMS can help, or you have any questions, then please contact EMS today!