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E-waste is utilized for lack of chips

Many companies are said to be experiencing a severe chip shortage and are forced to use old chips extracted from e-waste.

According to SCMP, the chip crisis is more serious than initially predicted, when some small businesses are having to reuse components from old electronic devices. The CEO of a large industrial group in China revealed that his company had to buy old washing machines and disassemble them to get chips.

Similarly, because semiconductor components cannot be imported from partners, some businesses have to find ways to import electronic waste and disassemble it to get the chips they need.

“Demand for chips is very strong right now and in many areas. We seem to have underestimated the world’s semiconductor demand recently,” Peter Wennink, CEO of ASML Holding, commented at the financial report. the company itself on April 20. “The chip shortage will persist for the foreseeable future, at least in some areas.”





A group of workers are separating semiconductor components from old electronic devices.  Photo: AFP

A group of workers are separating semiconductor components from old electronic devices. Image: AFP

Not only small companies, large enterprises also struggle to get enough chips to produce. Tesla, for example, has yet to weather its more than a year old chip crisis. Earlier this week, a representative of Elon Musk’s company admitted that production activities are still hampered by a lack of semiconductor components. Volkswagen last week said the company could experience a negative impact from chip shortages, and Toyota Motor has cut production of 100,000 cars in this year’s target due to insufficient chips.

Meanwhile, the chip supply chain has not shown any signs of returning to normal as before the pandemic. Lam Research, a US-based wafer manufacturer, said it could not yet fulfill orders for partners. This makes it difficult for semiconductor manufacturers to increase capacity in the near future.

“The overall market demand is very strong, but supply-related delays continue,” Tim Archer, CEO of Lam Research, said at an April 20 shareholder meeting.

TSMC, the world’s largest contract chipmaker, said last week that its factory capacity remains relatively low and will continue until the end of the year. CC Wei, CEO of TSMC, emphasized that chip delivery time to partners will be longer than before.

According to observers, the chip shortage continues due to geopolitical fluctuations, including the impact of the war in Ukraine, the earthquake in Japan, as well as the no-Covid-19 policy that China is pursuing. . Currently, many cities in China have closed to fight the epidemic, but also seriously affected the supply chain.

Bao Lam (according to SCMP)

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