Taiwan quartz component makers to embrace strong 1Q21

Jane Wang, Taipei; Willis Ke, DIGITIMES Asia 0

Taiwan-based quartz component makers including TXC, Siward Crystal Technology, and Harmony Electronics are poised to enjoy a particularly strong first quarter of 2021 due to robust demand for a variety of applications including 5G handsets, networking equipment, notebooks, automotive electronics, and TWS and IoT devices, according to industry sources.

TXC saw its January revenues surge 84.06% on year to a record monthly high at NT$1.202 billion (US$42.93 million). The company said its production capacity for quartz crystal components of mainstream specs has been fully booked through the third quarter, and will continue to enforce capacity expansions for miniaturized quartz crystals at its plants in Taiwan and China in 2021, with capital expenses for the year to reach a new high at NT$2.2 billion, up from NT$1.4 billion in 2020.

TXC will have over 80% of its employees at its plants in China Ningbo and Chongqing stay behind for normal production during the upcoming Lunar New Year holidays, to meet shipment schedules set for clients.

Siward's new capacities for temperature compensated crystal oscillators (TCXO) and for tuning fork quartz oscillators have been running at high utilization at plants in central and southern Taiwan since 2020 to meet strong demand for 5G base stations, notebooks and wearable devices. The company has seen clear order visibility for months ahead and is expected to further ramp up its capacity utilization.

Siward's January revenues spiked 56.46% on year to NT$264 million, and its capex for 2021 is estimated to reach NT$500 million, up 16.27% on year.

Harmony Electronics expects its shipments for networking, notebook and automotive applications to grow stably in the first quarter of 2021,with the prospect of seeing its shipments further bolstered by demand for more 5G, AI and autonomous driving applications in the near future. Its annual revenues for 2020 rose 14.82% on year to NT$3.02 billion.