The "Environmental Protection Tax Law of the People's Republic of China" will be officially implemented from January 1, 2018, with the purpose of driving high pollution and high energy consumption enterprises to transform and upgrade through taxation. This will further promote economic restructuring and the transformation of development methods. We believe that the environmental protection tax on the one hand is expected to stimulate local government supervision, on the other hand, it may accelerate the withdrawal of high-polluting companies. Recently, Kunshan and Zhuhai have been unable to send signals of continuous tightening of environmental protection supervision due to environmental problems. The disadvantages of some small and medium-sized enterprises in production technology and the lack of investment in environmental protection facilities will increase their production costs and even directly face the risk of plant closure. PCB The concentration of manufacturers is expected to increase further.
The recent Kunshan environmental protection production restriction plan involves 3 plus resistor companies: Lizhi, Wangquan, and Housheng. Although the production suspension has not been fully implemented, the amount of sewage has been strictly limited. Yageo officially informed that on December 26, a notice was issued to the distributor to stop Chip-R orders. Yageo stated that the safety stock of its Chip-R has fallen below 40 days, so it gives priority to supply to important customers. First adjust the production capacity and distribution, and then observe the supply and demand situation. If the delivery time needs to be extended, the value is one. Options. In 2016, Yageo’s global share of chip resistors reached 34%, with a monthly production capacity of 90 billion pieces. The domestic passive component leader Fenghua Hi-Tech’s current monthly production capacity of chip resistors is about 25 billion pieces, and it is expected to reach 35 billion pieces in the second half of 2018. Fenghua is in the resistance market. The position is stronger than that of MLCC , and it is expected to directly benefit from Yageo’s suspension of orders and subsequent price increase expectations.......see details
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