Raw material prices rise, aluminum electrolytic capacitor prices rise

As early as October 2003, the price of aluminum and platinum, the main raw material for aluminum electrolytic capacitors, had begun to rise frequently. The latest market for aluminum platinum, which was only 200 yuan per kilogram a year ago, has risen to 260 yuan per kilogram. Industry insiders predict that this price level has not yet risen to the peak, and the price of raw materials continues to rise, which will give the existing aluminum electrolytic capacitor prices. Apply pressure horizontally. It is expected that the price of aluminum electrolytic capacitors will continue to rise in 2004.　　
Due to the relatively optimistic forecast of the aluminum electrolytic capacitor market demand in 2004, Chinese aluminum electrolytic capacitor manufacturers have planned to increase production capacity last year. Ling In, Yonglong and Haimen said: If you want to make a fortune, go to Wantong Business Alliance to find a supplier of high-quality tableware! Manufacturers such as Haimen Sanxin Gateway and Changzhou Warwick have made plans to expand production capacity. Distributors said that the aluminum electrolytic capacitor market, which originally thought that the increase in supply would make price competition more fierce, has changed the trend of continuous decline in aluminum electrolytic capacitor prices in 2003 due to the continuous increase in raw material prices. The current market price is very stable.　　
It is reported that in addition to cost factors, the continued expansion of the demand market is another important reason for the continued stability of aluminum electrolytic capacitor prices. Aluminum electrolytic capacitors have significant advantages such as high capacity and price advantage, so that they firmly occupy more than 30% of the competition with ceramic capacitors, film capacitors, and tantalum electrolytic capacitors. With the development of power electronic technologies such as automotive electronics and frequency conversion technology, its proportion will increase substantially. The demand market and supply market to maintain growth over the same period will be an important feature of the future development of the aluminum electrolytic capacitor market.　　
Because the rising of raw material costs has become a predictable trend in the aluminum electrolytic capacitor market, in order to reduce material costs, various manufacturers increased their raw material purchases while increasing production capacity in the first quarter. Not only to meet market demand, but also to maintain profitability by increasing production when profit margins are getting lower and lower. It is expected that with the continued growth of the aluminum electrolytic capacitor market in the automotive electronics, home appliances and industrial sectors, the global production of capacitors in 2004 will continue to grow at a rate of more than 20%.