Third price hike this year! STMicroelectronics issues price increase notice: Effective August 23, automotive-grade chips see the steepest rise

STMicroelectronics (ST) recently sent a price increase notice to customers, announcing that it will raise prices across multiple product lines starting August 23. ST had already completed two rounds of price adjustments on April 26 and June 28, making this the third price hike within 2026.

It should be noted that specific increases and affected part numbers will be communicated individually by account managers, as the notice did not disclose specific figures.

In the notice, ST attributed the price adjustment to strong demand growth in semiconductors across multiple sectors for several consecutive quarters, with significant cost increases across the entire supply chain, including transportation, energy, raw materials, and manufacturing services.

This year's semiconductor market is not experiencing a simple broad-based price surge; shortages are highly concentrated in AI computing and new energy vehicles. Automotive-grade MCUs are among the most scarce categories, with some ST automotive MCU part numbers seeing increases of 15% to 20%.

Lead times for power devices have generally extended to over 30 weeks, with some reaching 52 weeks. ST, TI, Micron, and SK Hynix have all completed three rounds of price adjustments this year, with TI having made five cumulative adjustments in the past 12 months.

Price adjustment actions from multiple semiconductor manufacturers are still ongoing. ADI, BYD Semiconductor, Nations Technologies, and Maxscend have recently issued price increase notices covering four sub-sectors: analog chips, power semiconductors, MCUs, and RF front-end modules. Infineon and some domestic power manufacturers are also reportedly preparing for a new round of price adjustments.