Asia Express - East Asian ICT
East Asia ICT - ASE's Return to Normal Production Capacity Delayed
June 17, 2005
ASE is still feeling the effects of the fire that hit its factory in Zhongli, Taiwan on May 1. ASE currently estimates that production of flip-chip substrates will not resume until the beginning of 2006, because production equipment will only be ready at the end of 2005. Production of PBGA (Plastic Ball Grid Array) substrates is expected to return to its normal level of 20 million units per month at the end of 2005 as ASE's factories in Shanghai and Kaohsiung will step up their monthly production levels.

Originally ASE had estimated that it would be able to return to normal production levels by the end of the third quarter. The fire in ASE's factory and the new delay in the return to normal production levels are causing shortages in FC and PBGA substrate supply.