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The Super Typhoon Swept Southeast Asia, And The Flood Has Caused The Local Semiconductor Manufacturers To Stop Production

Published:2021/12/21

Last Thursday, super typhoon Rai landed in the Philippines and brought heavy rainfall in Southeast Asia. Last weekend, there were floods on the Malaysian Peninsula and affected the operation of local ports and factories.

According to Philippine officials, typhoon Rey killed 208 people along the way, displaced more than 440000 Filipinos due to the typhoon, destroyed power systems in many parts of the Philippines and affected about 1 million people.

The typhoon caused heavy rain on the Malaysian Peninsula over the weekend, causing tens of thousands of people to be displaced, roads to be closed and shipping to be interrupted. ZAINI ujang, Secretary General of the Ministry of environment and water resources of Malaysia, said that the rainstorm in the two days from December 17 to 18 reached the normal rainfall of one month. On Sunday (19th), the rainfall gradually weakened and the flood began to recede.

Malaysian authorities said on Saturday that the operation of portklang, the second largest port in Southeast Asia, was seriously interrupted under the influence of the flood. Due to the damage of the entrance road, many staff could not go to work, and the delivery of goods and berthing of ships will be delayed in the next few days.

Many factories in Malaysia were also affected by the flood. On Monday, besemiconductor (besi), a Dutch chip packaging equipment supplier, said it lowered its revenue forecast for the fourth quarter because the floods in Malaysia affected its main local production facilities.

Be semiconductor said that the rainstorm affected its main production facilities in Shah Alam, Malaysia, resulting in the suspension of the assembly of products worth about 25 million euros (about 179 million yuan).

"It is preliminarily estimated that the one-time costs related to the materials and labor required to repair or replicate those affected systems are between 4 million and 6 million, which will be included in the fourth quarter earnings," the group said in a statement

Be semiconductor said that the cost of repairing the affected buildings and production related equipment is not expected to exceed 2 million euros. The company currently expects revenue in the fourth quarter to decline by about 15-20% compared with the third quarter, compared with the previous expectation of a decline of 5-15%.

However, besi said that the order value in the fourth quarter is expected to reach about 180-190 million euros, higher than 157.3 million euros in the fourth quarter of last year.