Nanofilm mulls project postponements amidst global chip shortage

Nanofilm expects manufacturers to continue stockpiling chips.

Nanofilm Technologies, which manufactures parts for computer, communications and consumer electronics (3C), said it is ready to postpone certain projects if needed.

In a statement to the Singapore Exchange, Nanofilm said noted that it has been affected by the strong demand for semiconductors last quarter.

Thus, it was looking into the possiblity of defering certain 3C projects if needed.

"While the Group’s nanotechnology solutions are applied to a wide number of applications across multiple industries, some of the industries that the Group operates in are not spared by the current situation. Among them, the 3C industry is facing increasing pressure in their supply chain compared to Q4 last year (when the shortage was milder) and the current chip shortage has started to impact manufacturers’ projected production run rate," Nanofilm said.

It expects 3C manufacturers to continue stockpiling chips in anticipation of an ongoing shortage.

It likewise expects the supply chain to recover "in the coming months", allowing for a return to its usual production position and new product launches.