In response to the coronavirus outbreak in China, national and local governments have taken certain decisions there regarding the shutdown of industrial production in the country. As of this writing, the Chinese government has extended the Lunar New Year holiday by three days to February 2.
The local government of Shanghai has gone a step further and ordered non-essential companies until February 9. Suzhou City denied access to businesses before February 8. These restrictions apply to both domestic and foreign companies operating in China. These are of course very impactful regions for the electronic components business.
Head electronics collects information from its suppliers with China-based manufacturing companies and suppliers with supply chains that depend on Chinese production. While we have not yet been notified of specific delays, we expect extended closures to result in shipping delays in products or components made in China. Head electronics reach its suppliers with production in China and consolidates that data. Head electronics will continue to monitor this situation and keep its customers informed of additional developments.
We do everything we can to limit any delays by diverting to alternatives where possible.