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Aluminum electrolytic capacitor makers boost capacity

Posted: 14 Jun 2005 ?? ?Print Version ?Bookmark and Share

Keywords:electrolytic capacitor? TVs? power supplies? mobile phones? automotive a/v?

Over the past years, mainland China has become one of the largest manufacturing hubs for capacitors in the world, supplying about 25 percent of the international market. According to the China Electronic Components Association (CECA), mainland China's output for aluminum electrolytic capacitor alone reached 70 billion units last year, occupying 40 percent of the global output. Sales revenue was $185 million.

For capacitors, the CECA forecasts that this year, mainland China's output will increase by 20 percent from last year's total output of 222 billion units. In 2003, output was 185 billion units, up 14.41 percent over 2002.

Despite the rising cost of aluminum foil and chemicals for electrolyte, most mainland China makers of aluminum electrolytic capacitors are boosting output, driven by demand particularly from TVs, power supplies, mobile phones, automotive A/V, dvd players, air conditioners, washing machines and telecomm products.

The overall utilization capacity of manufacturers in the country is estimated at 70 to 90 percent. Several makers are planning to expand capacity by as much as 20 percent this year. Forecasting a slight cut in export price, most makers expect to post high export growth. Some makers are also continuously launching new products to keep up with demand.

One maker, Nantong Tongfei Capacitor Co. Ltd, will increase its output by 20 percent this year. Another supplier, Haimen Sancon Jetwell Electronics Co. Ltd, will raise its capacity for aluminum electrolytic capacitor by 20 percent. Utilizing 90 percent of its capacity, Wuxi New Peace Electronics Co. Ltd will boost its production by 100 percent this year.

Some makers, meanwhile, are focusing on improving features of their aluminum electrolytic capacitors in response to customers' requirements. Particularly, makers of mobile phones and consumer electronics are requiring chip type, high frequency, high capacitance, low dissipation, low resistance, long life and wide temperature capacitors.

Wuxi New Peace, for instance, is set to manufacture winding solid aluminum capacitors, which feature thin profile, miniature size and high performance. The product is widely applied in telecom products. The company will also launch two new high voltage models suitable for frequency inverters.

To cater to the increasing demand from high-density assembly, Nantong Tongfei Capacitor Co. Ltd is developing super miniature models and has begun production of its CD50 series.

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