MLCC Price Increase: Causes, Impact on BOM, and How to Prepare Alternative Parts

Quick Summary

MLCC price increases can be caused by many factors, and demand from AI servers and high-performance devices is one important factor.

Key takeaways:

MLCCs are multilayer ceramic capacitors, commonly used in power circuits, ICs, sensors, industrial modules, and AIoT devices.
AI servers use more GPUs/ASICs and more complex power systems, which increases demand for high-end MLCCs.
When high-end MLCCs are pulled into the AI segment, some general-purpose MLCC lines may be indirectly affected in price and lead time.
One MLCC part in shortage can delay the entire BOM, even if the component itself has a low unit cost.
When replacing MLCCs, do not check only capacitance, voltage, and package. Also check dielectric, DC bias, ESR/ESL, temperature range, and technical approval requirements.

What Is an MLCC?

MLCC stands for Multilayer Ceramic Capacitor. It is a type of capacitor made from many stacked layers of ceramic dielectric and metal electrodes.
In electronic circuits, MLCCs are commonly used to:

Filter power-supply noise.
Stabilize the voltage supplied to ICs.
Provide decoupling near the power pins of MCUs, FPGAs, CPUs, GPUs, or power ICs.
Reduce ripple in DC-DC converter circuits.
Filter signals in sensor, analog, RF, or communication module circuits.
Help industrial equipment and AIoT devices operate more stably.

MLCCs are small, easy to mount on PCBs, and appear in large quantities in many BOMs. Therefore, when MLCC shortages occur or passive component prices rise, purchasing cost and procurement schedules can be clearly affected.

Why Are MLCC Prices Increasing?

MLCC price increases are not caused by only one factor. The market is usually affected by several factors at the same time: demand from advanced applications, production capacity, material costs, distributor inventory, and stockpiling behavior.

Demand from AI Servers and Data Centers Is Rising

AI servers often use GPUs, ASICs, accelerators, high-speed memory, and many high-power supply blocks. These systems need many MLCCs to stabilize power, filter noise, and respond quickly when the load changes.

MLCCs in AI servers commonly support the following roles:

Decoupling for high-power chips.
Reducing ripple on power rails.
Filtering high-frequency noise.
Supporting power integrity on multilayer boards.
Stabilizing power for high-speed processing systems.

When demand for high-end MLCCs increases, manufacturers tend to prioritize capacity for product lines with higher technical requirements and higher value. This can make the general-purpose MLCC market more sensitive to price and lead time fluctuations.

High-End MLCCs Are More Difficult to Produce

Not all MLCCs are the same. Product lines used in AI servers, automotive applications, industrial equipment, or high-performance power supplies often have stricter requirements:

High capacitance in a small size.
Low ESR/ESL.
Good stability across temperature.
High reliability.
Ability to withstand voltage stress or harsh operating environments.
Good performance in power circuits and high-speed signal circuits.

These requirements make production capacity harder to expand quickly compared with general-purpose capacitor lines.

Longer Lead Time and Stockpiling Activity

When the market shows signs of price increases, some agents, distributors, or factories may purchase inventory earlier than usual. This makes short-term supply tighter.

Buyers may face situations such as:

Prices changing more quickly.
Longer lead time.
Insufficient quantity for the forecast.
Changes in MOQ or SPQ.
The need to find alternative parts under time pressure.

How Does an MLCC Price Increase Affect a BOM?

In an electronic component BOM, many people usually prioritize checking ICs, relays, diodes, transistors, sensors, connectors, or industrial modules. However, MLCCs can also become a bottleneck if a part is used in high quantity or does not have a clear alternative.

Impact on BOM Cost

A single MLCC may not be expensive. But an electronic board can use dozens, hundreds, or even more capacitors depending on the design.

For example, an AIoT gateway may include an MCU, Wi-Fi module, power IC, sensors, memory, and communication ports. Each block needs MLCCs for power filtering or decoupling. If many MLCC part numbers increase in price at the same time, the total BOM cost will rise significantly.

Impact on Quotation Schedule

For component sales teams, MLCC shortages can slow quotation work because they need to:

Check stock from multiple sources.
Confirm lead time.
Check MOQ, SPQ, and date code.
Find alternative P/Ns.
Ask the customer or engineer to approve the alternative part.

If a BOM has hundreds of component lines, only a few MLCC lines with missing information can delay the entire quotation process.

Impact on Product Quality

Replacing an MLCC with the wrong specification can cause technical issues such as:

Higher power-supply ripple.
Unexpected IC resets.
Unstable DC-DC converter operation.
Incorrect or noisy sensor readings.
Device hangs when the load changes.
Product failures during thermal tests or environmental tests.

Therefore, MLCC replacement must be treated as a technical step, not only a purchasing step.

Which MLCC Groups Are More Likely to Face Shortages or Price Increases?

Not all MLCCs have the same level of risk. When reviewing a BOM, the following groups should be checked first.

MLCC Group	Risk Level	Why It Needs Attention
High-capacitance MLCCs	High	Used in many power circuits, DC-DC converters, and power modules
Low ESR / low ESL MLCCs	High	Important for high-speed decoupling and low-noise power supplies
High-voltage MLCCs	Medium to high	Used in power supplies, industrial equipment, and devices that must withstand high voltage
High-reliability / automotive MLCCs	High	Require high quality and high reliability
Small packages such as 0201 and 0402	Medium	Used widely on high-density boards and require precise manufacturing
General-purpose 0603 and 0805 MLCCs	Medium	May be affected when the market starts stockpiling
C0G / NP0 MLCCs	Medium	Used in RF, timing, and analog circuits, where using the wrong material can cause issues

For buyers, the first parts to check are those with high quantity, few alternatives, long lead time, dependence on a single manufacturer, or a critical position in the power circuit.

Technical Specifications to Check When Selecting MLCCs

Do not replace an MLCC only because two parts share a short description such as “10uF 16V 0603”. An alternative part should be checked against several specifications.

Capacitance

Capacitance is the main capacitor value, for example 100nF, 1uF, or 10uF. However, with MLCCs, the rated capacitance may be different from the actual capacitance during operation.
This is especially important for high-capacitance MLCCs in power circuits.

Rated Voltage

The rated voltage must match the operating voltage of the circuit. Do not change to a capacitor with a lower voltage rating without approval.
For example, if the BOM uses a 16V capacitor, do not replace it with a 10V capacitor only because it has the same capacitance and package, unless an engineer has checked the safety margin.

Package / Case Size

Package is the physical size of the capacitor, such as 0402, 0603, 0805, or 1206. The package must match the PCB footprint.
A 0603 part cannot be changed to 0805 if the layout does not support it. On the other hand, changing from a larger package to a smaller one also requires checking actual capacitance, voltage rating, thermal performance, and reliability.

Dielectric

Dielectric is the ceramic material inside the capacitor. It affects capacitance stability across temperature, voltage, and time.

Dielectric	General Characteristics	Common Applications
C0G / NP0	High stability, low deviation	RF, timing, and precision analog circuits
X7R	Balanced capacitance and stability	Power circuits, industrial applications, decoupling
X5R	High capacitance, small size	General electronics and small modules
Y5V / Z5U	Lower cost, lower stability	Applications with low accuracy requirements

Do not replace C0G/NP0 with X5R or X7R in circuits that require high accuracy.

DC Bias

DC bias is the effect where the actual capacitance of an MLCC decreases when a DC voltage is applied across the capacitor. This is a common point that beginners easily overlook.

Two capacitors marked as 10uF, with the same package and voltage rating, can still have different DC bias characteristics depending on the manufacturer, product series, and dielectric.

For capacitors used in power circuits, check the datasheet or the manufacturer’s characteristic tool before replacement.

ESR and ESL

ESR and ESL affect ripple, noise, and frequency response. In DC-DC converters, high-speed ICs, FPGAs, communication modules, or AIoT gateways, these parameters can be very important.

Lower ESR is not always automatically better for every circuit. Some power circuits need a stability check when the capacitor is changed.

Temperature Range and Reliability

Industrial, outdoor, automotive, or power applications often require a wider temperature range and higher reliability than consumer products.
For environments with vibration, heat, or continuous operation, consider high-reliability series, soft termination, or relevant standards if the design requires them.

Practical Applications of MLCCs

In Consumer Electronics

MLCCs are used in routers, cameras, laptops, monitors, home appliances, and control boards. They are commonly used to filter power, reduce noise, and help ICs operate stably.

In Industrial Equipment

In PLCs, relay boards, motor controllers, industrial sensors, and power modules, MLCCs help reduce noise and stabilize voltage in environments with high electrical noise.

For example, an industrial relay board may use MLCCs near driver ICs, optocouplers, regulators, and auxiliary power rails to reduce noise when relays switch on and off.

In AIoT and Edge Devices

AIoT gateways, AI cameras, sensor nodes, and smart monitoring devices usually integrate MCUs, communication modules, power ICs, and sensors.
These blocks need MLCCs to:

Stabilize power for processing chips.
Filter noise from Wi-Fi, Bluetooth, LTE, or Ethernet modules.
Reduce ripple from switching power supplies.
Limit device resets or hangs when the load changes.

How to Select Suitable Components When MLCC Prices Increase

When an MLCC needs to be replaced, the goal is to find a part that is technically suitable, available, reasonably priced, and accepted by the customer or engineer.

Step 1: Identify the Role of the Capacitor in the Circuit

Before replacement, determine whether the capacitor is used for:

IC decoupling.
Input filtering for a power supply.
Output filtering for a DC-DC converter.
Analog signal filtering.
RF matching.
EMI filtering.
Power stabilization for a sensor or communication module.

General decoupling capacitors are usually easier to replace than capacitors used in RF circuits, precision analog circuits, or power circuits with special stability requirements.

Step 2: Check Mandatory Specifications

Minimum checklist:

Capacitance.
Rated voltage.
Package.
Dielectric.
Tolerance.
Temperature range.
DC bias.
ESR/ESL if required by the circuit.
AEC-Q200 or special standards if applicable.
RoHS, REACH if required by the customer.
Lifecycle and PCN/EOL status for long-term production.

Step 3: Compare the Original Part and the Alternative Part

Item	Original Part	Alternative Part	Notes
Manufacturer	As listed in the BOM	Proposed manufacturer	Customer/engineer approval is required if changing manufacturer
Capacitance	As original part	Equal to original or suitable for the design	Do not rely only on the short description
Voltage	As original part	Equal or higher	Do not reduce voltage rating without approval
Package	Based on PCB	Compatible with the footprint	Check the layout
Dielectric	As original part	Same type or approved	Be careful with C0G/NP0
DC bias	Based on datasheet	Must be compared	Important for high-capacitance MLCCs
ESR/ESL	Based on circuit requirements	Check if used in power or high-speed circuits	Do not change casually
Stock	Current status	In stock or better lead time	Check the actual available quantity
Documents	As required	CO/CQ, RoHS, REACH if needed	Important for industrial customers

Step 4: Check Stock, Lead Time, MOQ, and Supply Source

A good alternative part must be technically suitable and also purchasable.
Buyers should check:

Whether the part is in stock.
Whether the quantity is sufficient.
How long the lead time is.
MOQ and SPQ.
Whether the source is a distributor or broker.
Date code.
CO/CQ documents if needed.
The ability to hold price and reserve stock.

Step 5: Request Technical Approval

For industrial, automotive, medical, measurement, power, or export products, do not change the MLCC manufacturer or series without approval.

Sales teams and buyers should send a comparison table between the original part and the alternative part for the engineer or customer to approve before purchasing.

How to Prepare Alternative MLCC Parts in a BOM

Companies should not wait until MLCCs are in shortage before looking for alternatives. They should prepare in advance by standardizing the BOM and classifying risk levels.

Standardize the BOM

A good BOM should include:

Part number.
Manufacturer.
Description.
Value.
Package.
Voltage.
Tolerance.
Quantity per board.
Reference designator.
Notes on special requirements.

If the BOM only says “Cap 10uF 0603”, finding the correct alternative part will be much harder and more error-prone.

Classify MLCC Risk Levels

Risk Group	How to Identify	What to Do
High risk	Used in high quantity, few alternatives, long lead time, or located in a critical power circuit	Find alternative parts immediately
Medium risk	Has alternatives but stock is unstable	Monitor price and lead time
Low risk	Easy to buy, many replaceable manufacturers, and not located in a sensitive circuit position	Check periodically

Create an AVL

An AVL is an approved vendor list or approved parts list. For each important MLCC, it is recommended to have 2–3 alternative P/Ns that have already been checked.

This list helps buyers and sales teams quote faster and reduces the risk of urgent replacement when the market changes.

Common Mistakes When Selecting the Wrong MLCC

Checking Only Capacitance and Ignoring Voltage

The same 10uF value does not mean the parts are interchangeable. If the rated voltage is lower, the capacitor may not be safe enough in a circuit with voltage spikes or an operating voltage close to the limit.

Choosing the Correct Package but the Wrong Dielectric

X5R, X7R, and C0G/NP0 have different characteristics. Using the wrong dielectric can cause analog, RF, or timing circuits to operate incorrectly.

Not Checking DC Bias

High-capacitance MLCCs can lose actual capacitance when a DC voltage is applied. If DC bias is ignored, the power circuit may not have enough required capacitance.

Not Checking ESR/ESL

In DC-DC circuits, high-speed ICs, or communication modules, ESR/ESL can affect ripple, noise, and power stability.

Not Considering Mechanical Stress

MLCCs can be affected by PCB bending, vibration, or stress during soldering. For industrial or automotive equipment, consider high-reliability or soft-termination series if required by the design.

Not Requesting Approval When Changing Manufacturer

If the customer has specified a manufacturer or part number, changing to another part without approval can cause quality process issues.

Buying from Unclear Sources During Shortages

When MLCCs are in shortage, the risk of buying parts from unclear sources, with old date codes, or without documents can increase. Buyers need tighter control over supply sources.

What Should Buyers and Sales Teams Do When MLCC Prices Increase?

For buyers:

Review all MLCCs in the BOM.
Prioritize parts with high quantity.
Check stock from multiple sources.
Monitor lead time and price history.
Prepare alternative P/Ns for high-risk parts.
Work with engineers to approve the AVL.

For component sales teams:

Do not only report “in stock” or “out of stock”.
Suggest alternative parts if the original part is in shortage.
Send a comparison table between the original part and the alternative part.
Ask clearly about requirements for manufacturer, date code, documents, RoHS, lead time, and forecast.
Warn customers early if a part shows signs of price increase or longer lead time.

Conclusion

The MLCC price increase shows that passive components can no longer be treated as a minor group in the BOM. Although MLCCs are small and usually have a low unit cost, they appear in many important positions in electronic circuits, from power ICs, MCUs, sensors, and industrial modules to AIoT devices.

As demand from AI servers, data centers, and high-performance devices rises, buyers, component sales teams, and engineers should proactively check MLCC part numbers in the BOM. The best approach is to standardize data, classify risk levels, check stock early, and prepare approved alternative P/Ns.

If your BOM contains many MLCCs, ICs, relays, diodes, transistors, sensors, connectors, or industrial modules, check high-risk parts early to avoid quotation delays, shortages, and higher production costs.

FAQ: Frequently Asked Questions About MLCC Price Increases

1. What is an MLCC?

An MLCC is a multilayer ceramic capacitor, a small capacitor commonly used for noise filtering, power stabilization, and decoupling in electronic circuits. MLCCs appear widely in the BOMs of electronic devices, industrial modules, sensors, power ICs, and AIoT devices.

2. Why are MLCC prices increasing?

MLCC prices may increase due to rising demand from AI servers, data centers, industrial equipment, and high-performance applications. When high-end MLCC supply becomes tighter, some general-purpose MLCC lines may also be affected through price, lead time, and inventory availability.

3. How does an MLCC price increase affect a BOM?

An MLCC price increase can raise BOM cost, extend lead time, and slow the quotation process. One small capacitor in shortage can delay the whole order if no approved alternative part is available.

4. Which specifications should be checked when replacing MLCCs?

Check capacitance, rated voltage, package, dielectric, tolerance, temperature range, DC bias, ESR/ESL, certifications, and stock status. Do not replace MLCCs only based on a short description such as “10uF 0603”.

5. Can Murata MLCCs be replaced with Samsung, TDK, Yageo, or Walsin?

Yes, but the datasheets must be compared and approval from the engineer or customer is needed if the product has quality requirements. The alternative part must match the technical specifications, PCB footprint, reliability, stock, and lead time requirements.

6. Should buyers stock up on MLCCs when they hear about price increases?

Do not buy every part in large quantities. Prioritize parts used in high quantity, parts with few alternatives, parts with long lead time, or parts located in critical power circuits.

7. What is DC bias in MLCCs?

DC bias is the effect where the actual capacitance of an MLCC changes when a DC voltage is applied across the capacitor. It is an important parameter when selecting MLCCs for power circuits or positions that require stable actual capacitance.

If your BOM includes many MLCC capacitors, ICs, relays, diodes, transistors, sensors, connectors, or industrial modules, you should check high-risk part numbers early to avoid quotation delays, stock shortages, and higher production costs.

You can send your P/N list or BOM to 2M Electronics Co., Ltd. (IC-VIETNAM) for support with part number lookup, stock checking, lead time verification, and suitable alternative P/N recommendations. Preparing alternative parts in advance will help make your purchasing process more proactive when the MLCC and passive component markets fluctuate.