The price of the monitors will rise because of the Coronavirus

The price of the monitors will rise because of the Coronavirus

The world is in check for this new COVID-19, which is affecting both people and economies and apparently does not plan to leave puppet with a head. Although there were rumors about how it will affect certain markets, they are reacting completely differently and in several phases.

For example, RAM memories due to the accumulated stock will have no problem coping with the Coronavirus crisis and the price increase could be lower than expected or even zero for a few months.

But the market for monitors is totally different, and has already suffered the first of the blows.

The price of monitors will rise, production has fallen by 20%

If we talk about monitors and specifically their panels (logically fundamental piece) there is a city that houses large production lines of these. Unfortunately for the industry, this city is Wuhan, focus and epicenter of the entire outbreak of this new Coronavirus COVID-19.

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As expected, all the factories in that city closed for almost a month and have not yet recovered the activity. The situation is so critical that there is no notice of the resumption of the activity until at least 15 days according to local reports, where in any case the production will gradually increase in anticipation of new cases or relapse of some workers, which It implies a closer observation of each case.

World production due to this virus will fall a 20% in total, leaving many manufacturers without stock in just over a month and having to assume losses due to high demand and low existing supply.

Production will return by 5 or 10% in March

Wuhan fab

Due to control measures, China and in particular Wuhan will not see the supply restored until at least April or even May, where authorities say the outlook will be eased between 5 and 10% maximum of normal production.

However, there is no analysis of how much this fall in production will affect the price of the monitors, perhaps it is too early to take stock, but all analysts agree that the price will rise by a good percentage, making this 2020 one of the worst years to acquire a monitor.

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Therefore, users who are thinking of buying one may be the crucial time to do so, since there are no signs of recovering the order and pace of the industry until at least the end of the summer, as long as there is no more infected or relapse again.

The uncertainty scenario is maximum and forecasts could fail, since we do not know how it will affect 80% of the remaining production, since more countries are seeing how the virus does not stop spreading and the measures could be similar or equal to Strict than those taken by China.


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