Cirtek Holdings Philippines Corporation, through its semiconductor arm Cirtek Electronics Corporation (CEC), continues its collaboration with customers to develop expansion plans to address the global chip shortage that the industry is experiencing.

As quoted from the Integrated Circuit (IC) Insight’s market research report, the worldwide IC market is expected to display an increase of 24 percent growth this year which will be driven by a 21 percent jump in shipments and a 2 percent increase in average selling price.

“This is very encouraging news for industries in the semiconductor space,” Cirtek said.

A growth rate of 24 percent would be the third largest increase in the global IC market over the past 16 years, being surpassed only by the 33 percent surge displayed in 2010 and the 25 percent increase registered in 2017, according to the IC Insights market research report.

Early in the first quarter of this year, CEC started procuring additional equipment to support the surge in demand from its customers. This is at the back of the Cirtek Group’s manufacturing capacity already running at 100 percent.

The new equipment will initially drive 25 percent additional capacity in the second half of 2022. This expansion is complemented with booked orders received in the first quarter of 2021.

Cirtek Senior Vice President for Marketing Tony Callueng said the firm has secured three new customers in early 2021 from major telecom players in Europe that will complement the Company’s growth trajectory.

Due to the industry’s bullish outlook, supply chain backlogs and chip demand outpacing supply, customers have even started to consign equipment to Cirtek as insurance for production capacity on top of Cirtek’s own internal equipment.

Cirtek also sees growing trends in products focused on internet of things (IoT), wireless communication (5G deployment), medical devices and wearables.

Meanwhile, the charitable spirit within the Cirtek organization further pushes its CSR (Corporate Social Responsibility) activities giving aid to fellow employees and families affected by COVID-19.

Its Human Resources Department recently set-up a quarantine pantry for personnel who are required to undergo quarantine in compliance to the health protocols set by the government for people in close contact with COVID-19 patients.

These employees, who are not allowed to work temporarily, were given aid in terms of cash, food, vitamin supplements and PPEs funded by voluntary contributions from both management and staff.

In addition, the Company’s medical team continues to care for its employees through continuous health monitoring, screening and distancing, maintaining virus-free facilities.