Niche-market touch panel specialists including Mildex Optical and Higgstec are poised to hike their prices to reflect rising costs of components and raw materials, according to industry sources.

Mildex has notified clients that it will raise quotes by 10-15% starting May to reflect increased costs for glass, ICs and other components, the sources said, and the worsening components shortages have added further pressure on its overall production costs.

Mildex saw orders received in the first quarter of the year grow over 40% sequentially thanks to clients actively moving to replenish inventories, and its monthly revenue is expected to soar past NT$100 million (US$3.57 million), with revenues to rise sequentially in the second and third quarters, the sources continued.

The company has applied its optical lamination technology to e-paper display solutions, significantly boosting the added value of its products.

Higgstec is now in intensive talks with clients over price adjustments, and is expected to raise quotes starting June at the earliest, to reflect rising costs for glass, paper and shipping.

The company's new plant in Ilan, northeastern Taiwan has started commercial production since the start of the second quarter, with its overall production capacity to increase 25% by the end of the year.

Higgstec is expected to see touch control solutions for industrial systems contribute 40-45% of total revenues, serving as the company's main revenue growth driver in 2021.

By DIGITIMES