The export of chips made in El Salvador broke a record in 2022
Exports of chips (also known as fixed electronic capacitors) broke records in 2022 and exceeded $259.9 million, according to statistics from the Central Reserve Bank (BCR).
This product is only made in El Salvador by the Japanese company Kyocera AVX, located in the free zone of San Bartolo, Ilopango. According to the BCR, its exports increased $18.7 million (7.8%) compared to $241.2 million in 2021.
Unlike other products, capacitors also grew in exported cargo by 1% and more than 1.11 million kilograms were shipped. Both in volume and in monetary value, it reached its maximum since its exports were recorded, starting in 2005, according to the BCR registry.
Electronic capacitors are highly demanded by various industries, such as the automotive, telecommunications or space. They are small batteries, like those of a cell phone, but that are distinguished by their high capacity to deliver and store energy millions of times per second.
The availability of these parts was disrupted in 2020 by the closures of large factories due to lockdown schemes, but the supply became more acute in 2022 after the Russian invasion of Ukraine, one of the main suppliers of this technology.
The Salvadoran industry took advantage of this advantage and grew 78.3% from pre-pandemic values, some $114 million more than the $145.75 million exported in 2019. Shipments are 2.1 times higher compared to the $120.1 million reported in 2005, 17 years ago.
The star product.
According to the BCR, chips are the fourth most exported products by El Salvador at the end of 2022 and are considered one of the most complex in the national industry.
It is only surpassed by T-shirts, which closed last year with $819.1 million, as well as sweaters with $519.1 million, and transportation items, which reported shipments valued at $325.9 million.
El Salvador sends electronic capacitors to 16 countries, but 99.9% of exports are destined for the United States, with $259.8 million at the end of the year.
The 0.01% is distributed between shipments to Hong Kong, China, South Korea, Japan, Israel, Portugal, the United Kingdom, Germany and even Mexico.
The results at the end of last year exceeded the company’s expectation of exporting some $220 million, according to forecasts released in July 2022 by Alfredo Tovar, general manager of Kyocera AVX, after receiving an award from the Salvadoran Association of Industrialists (ASI). ) for being the main exporter of technology in the country.
Kyocera AVX began operations in 1977 and, according to statements by Tovar, invests $20 million to expand its production capacity between 5% and 8%.
The firm operates its largest tantalum capacitor plant in the world in the Salvadoran market, where ceramic and niobium capacitors are also manufactured.
Every week, the plant produces some 300 million units for the international market.