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Chip supply faces new crunch as Malaysia plants shut for a week

Bloomberg
Bloomberg9/8/2021 08:11 PM GMT+08  • 3 min read
Chip supply faces new crunch as Malaysia plants shut for a week
Unisem is one of several Malaysian-based chip assemblers and testers for likes of Infineon Technologies AG and STMicroelectronics
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The Malaysian semiconductor firm Unisem Bhd will shut some plants for seven days after three employees died recently from Covid-19, dealing a fresh blow to the chip supplies that carmakers and other companies rely on.

The company said it will close Ipoh plants in the state of Perak until Sept 15 to curb the spread of the disease, which Chairman John Chia said had infected several employees and caused three deaths. The company will then limit the number of staff allowed into the facilities when they reopen. Unisem, which provides packaging and testing services, gets about 12% of its revenue from the auto sector, 28% from communications and 30% from consumer segments.

Unisem is one of several large Malaysian-based chip assemblers and testers for the likes of Infineon Technologies AG and STMicroelectronics NV.

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