ITW, others respond to Japan disasters

Supply chain companies support humanitarian efforts, keep tabs on situation in Japan following earthquake and tsunami

Uncertainty still looms about the long-term effects of Japan’s recent natural disasters and ensuing nuclear crisis on the global supply chain. Product shortages, higher prices, and logistics problems threaten some industries, such as electronic component manufacturing and distribution, as others wait to see if there will be a trickle-down effect from production slow-downs in industries such as automotive and technology. In the meantime, many manufacturers and distributors remain focused on the humanitarian efforts needed to help Japan recover.

Diversified manufacturer ITW recently donated $250,000 to the Red Cross Japan Earthquake and Pacific Tsunami Fund and said it will provide a 3 to 1 Matching Gift Program for employee donations.

In a similar move, electronics distributor Arrow Electronics, recently pledged to match its employees’ first $100,000 in donations to designated crisis-recovery charities at work in Japan.

Also in the electronics distribution space, British giant Premier Farnell was the first to launch an informational micro-site devoted to the Japan tragedies on its element14 online community. The site includes updates from electronic component manufacturers located in Japan, as well as those that source products from Japan, along with news, humanitarian support information, and discussion forums.

Distributors of electronic components are watching the situation carefully, since Japan produces a large portion of the world’s semiconductors and related items. Roughly 40% of the world’s NAND flash memory and 15% of its DRAM are produced in Japan, for example.

Arrow/Samsung announce new global distribution agreement

Arrow to provide distribution and design-in services

Arrow Electronics, Inc. (NYSE:ARW) today announced a global distribution agreement with Samsung Electro-Mechanics, a leading manufacturer of electronic components and technologies.

Arrow will provide distribution and design-in services for Samsung Electro-Mechanics worldwide, excluding Korea, for Samsung's broad product offering in the passives area of capacitors, resistors, inductors and crystals.

“Samsung is an innovator and a globally recognized leader in technology and electronics,” said Peter Kong, president of global components for Arrow Electronics. “Together with Arrow's strength in supply chain services, value-added capabilities, and global reach, this relationship will help expand our ability to serve our customers’ diverse needs around the world.”

“Samsung is engaging with Arrow Electronics in a global franchise agreement because of their market position with global customers, excellent sales and technical support and logistics expertise,” said Dr. CJ Choi, executive vice president/chief of business unit for Samsung Electro-Mechanics. “We are looking forward to reaching new markets with our technology into Arrow’s global customer base.”