The reason for setting the target at 2 trillion yen is that Murata believes that the next-generation communication standard “SG” will be put into operation in 2020 and auto-driving and other car electrification processes will increase the demand for electronic components.
According to Murata, the annual production increase rate of its main product MLCC is 10%. MLCC is a component for stabilizing voltage and noise reduction, Murata produces more than 1 trillion pieces per year and has a global market share of 40%, it is the world’s largest MLCC producer. In the past two years, MLCC has been in a state of shortage, and Murata also said at the business briefing that it will raise MLCC prices from January to April next year.
Murata did not mentioned at the media meeting that which MLCC parameters prices will be increased. It is worth noting that after a year of shortages and price increases, MLCC is slowly returning to supply balance, and prices are slowly falling. If Murata announced the official price increase in January 2019, it Will have a big impact on the entire MLCC market.