Most Asian companies will be RoHS compliant

Staff -- Purchasing, 3/16/2006

Ninety-three percent of electronics manufacturers expect to comply with the European Union's Restriction of the Use of Hazardous Substances (RoHS) directive by the July deadline, according to a new survey.

The survey, conducted by media company Global Sources, found that 51% of the companies were already compliant. Forty-two percent expect to be compliant by mid-year.

Sixty-four percent of companies also said prices would be affected by RoHs compliance.

The survey found:

• 35% of manufacturers expect their prices to increase by less than 5%;
• 23% expect prices to increase by between 5% and 10%;
• 6% expect prices to increase by more than 10%.

The survey questioned 359 manufacturers in mainland China, Taiwan, Hong Kong and South Korea. The companies currently export or plan to export electronic devices and components to the EU.

RoHS bans the use of lead and five other substances in equipment sold in the European Union beginning July 1.