Chinese cobalt sulfate pricing dropped to $4,938 per metric ton in late May, the lowest value since December 2015. Cobalt costs, in part, have led to the 44% decline in the Commodity IQ LCO Battery Index from January to mid-June. Lithium cobalt oxide (LCO) batteries are prized for their ability to delivery power for relatively long periods under low loads and are common to smartphones, laptops, and other small electronic devices.

China’s chip imports are plunging more quickly than domestic semiconductor production is increasing, illustrating the challenges that worldwide buyers will face in the coming years. Regional electronics markets are shifting their focus away from globalization, and embracing localized supply chains. 

In a complete reversal from 2022 and earlier this year, a full 50% of at-volume lead times are now quoted at 12 weeks or less. Those at over 52-week lead times have plummeted from 54% at the start of 2023 to just 4% currently.

MACOM represented 9 of the top 20 most considered RF parts in May, including digital phase shifters and diode switches.