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Soaring of Raw Material Prices and the Shortage of Chips Trigger the Snapping up of Robot Vacuum
March 22, 2021 | Business WireEstimated reading time: 1 minute
Recently, the price of many chips has risen by more than 20%. Among them, the price of CMOS chips has risen to nearly 40%. Some chip suppliers have even extended the time for chip delivery to over 30 weeks. The shortage of chips greatly lengthens the production cycle of vacuum cleaners and robot vacuums, and even hinders their production, thereby greatly increasing their production costs. The industry generally believes that global chip prices may increase by more than 30% in 2021. This industry trend has made Robot Vacuum enthusiastically sought after and even snapped up by the market.
Affected by the COVID-19, the manufacturing industry in many countries has almost fallen into a state of paralysis since 2020. Coupled with insufficient capital expenditures, limited new capacity, and strikes, the supply of basic materials such as steel, steel plate, copper, aluminum at the top of the global industrial chain and supply chain has been tight, causing the prices of chip raw materials to soar.
"Chip panics" is sweeping the world. The upgrade of smart home appliances completely relies on chips. The embarrassment of lack of chips forces the production of the home appliance industry to face huge challenges. And the home appliance industry has fallen into difficulties in production and development. The popularization of robot vacuum is the trend of development in the smart cleaning appliance industry. Insufficient supply of chips will inevitably affect the production of robot vacuum. What should enterprises do?
Robot vacuum becomes the hottest item due to the development of the smart home lifestyle. Technological upgrades bring about the improvement of functions and the latest robot vacuum with dust collection station is one of them. The key to upgrading the technology and functions of these robots depends on the chip. The imbalance of global chip supply and demand has undoubtedly brought tremendous pressure on the production of the robot vacuum.
In 2021, the supply chain for robot vacuum will enter the mode of snatching it. How to obtain chips and steady production has become the biggest problem that manufacturers need to overcome.
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