Samsung Electronics’ Texas chip output returns to near-normal levels

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Samsung Electronics said on Tuesday that production at its U.S. chip plant at Austin, Texas had returned to near-normal levels as of last week.

Samsung and other chipmakers with production facilities in the area had seen shutdowns due to severe weather in mid-February.

Samsung declined to comment on when production would be fully back to normal.

The disruption will have a definite impact on the global chip contract manufacturing industry that is already battling a severe capacity crunch, research provider TrendForce has said.

Qualcomm and Samsung logic chips account for about 65% of the monthly production at the Samsung plant, TrendForce added.

The disruption is expected to hurt production of smartphones globally over April-June by about 5%, TrendForce estimates.

REUTERS