Samsung Electro-Mechanics is reportedly set to supply a large volume of multilayer ceramic capacitors (MLCCs) to Chinese electric vehicle (EV) maker BYD, in what industry sources describe as a major step toward expanding its footprint in the automotive electronics market.
Industry officials view the deal as a direct outcome of Samsung Electronics Chairman Lee Jae-yong’s recent trip to China, where he met with key partners to bolster ties and explore new business opportunities in the fast-growing vehicle electronics sector.
According to sources, Samsung Electro-Mechanics has secured an order worth several hundred billion won to supply MLCCs to BYD and other Chinese manufacturers of automotive electronic systems. MLCCs, which play a critical role in storing and discharging electrical energy to protect circuits, account for nearly half of the company’s total revenue.
As part of his visit to China for the China Development Forum (CDF), chaired by President Xi Jinping, Lee toured Xiaomi’s automobile manufacturing plant in Beijing before visiting BYD’s headquarters in Shenzhen, Guangdong Province.
MLCCs are essential to the functioning of electric and autonomous vehicle systems, underscoring Samsung Electro-Mechanics’ strategic push into the electric mobility sector as demand for advanced vehicle components continues to rise.
