Earthquake in Taiwan Impacts DRAM Production at Micron Factory

Chinese-owned Micron is the world’s third largest DRAM manufacturer, and it suffered significant losses following a March earthquake. The company has announced that production will be delayed by two to three weeks leading up to April due to supply concerns in Taiwan

The “latest earthquake news” is a recent earthquake that hit Taiwan. The impact on the DRAM production at Micron Factory has been significant and will likely lead to price increases in the coming months.

Micron image

On Sunday, a 6.5 magnitude earthquake struck Taiwan, disrupting output at one of Micron’s DRAM chip manufacturing facilities. The epicenter of the tremor occurred around 35 miles east of Tapei, near Yilan. Fortunately, no one was killed, although a lady was hurt by falling rocks in Taroko National Park, which is located south of Yilan in Hualien County.

Micron image

As a consequence of the 6.5 magnitude earthquake that rocked north eastern Taiwan on October 24, Micron Technology verified that all team members in Taiwan are safe. The earthquake disrupted output at our Taoyuan facility. Micron is assessing the situation and deciding the best course of action to resume full production.

On the island, Micron operates two plants, one in Taoyuan and the other in Taichung. They manufacture DRAM using cutting-edge technology and accounted for roughly 9% of worldwide supply last year. In a letter to investors, Evercore analyst C.J. Muse stated the following.

Any significant reduction in production would almost probably result in a substantially tighter supply situation, prompting a DRAM price inflection sooner than currently expected [in the first half of next year].

Although the complete impact of the earthquake on DRAM manufacturing is unclear, supply chains are still tight and impacted by a variety of causes.

Associated Press, Bloomberg (via Tom’s Hardware).

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