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MLCC spot prices surge 20 percent in China as major suppliers signal contract price increases
Tuesday, February 3, 2026 at 06:40 AM
MLCC spot prices in China have increased by 20%, prompting Taiwanese suppliers Yageo and Walsin Technology to seek contract price hikes. Leading Japanese manufacturers Murata and TDK have also issued positive market outlooks, indicating a tightening supply chain for these essential passive components.
Context
Passive component prices are entering a new rally as global AI infrastructure buildouts strain supply chains. Yageo and Walsin Technology are poised to raise both spot and contract prices following a surge in demand for tantalum capacitors and multi-layer ceramic capacitors (MLCCs). KEMET, a Yageo subsidiary, has already implemented price hikes of 20% to 30% for high-end polymer tantalum capacitors used in AI servers. This supply crunch is now cascading into the MLCC market, where spot prices in China have recently jumped by up to 20%.
The price action is driven by cloud service providers requiring high-stability components for power-dense AI accelerators. As tantalum lead times stretch, designers are pivoting to "tantalum plus MLCC" configurations, driving structural demand for Walsin and ORC Manufacturing equipment and parts. Since AI servers consume significantly more passive parts than traditional hardware, this market shift is expected to sustain high margins for Yageo, which relies on these two product lines for approximately 40% of its total revenue.
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