2011 Thailand Floods
The 2011 Thailand Floods inundated industrial estates in central Thailand from October 2011, shutting factories that produced a large share of the world's hard disk drives and their components.
What happened and why it matters
The 2011 Thai floods became a standard example of hidden concentration risk, where many supply chains depended on factories in one flood-prone region. Western Digital's Thai plants, which made most of its drives, were under water, and Thailand also produced key parts such as spindle motors and read-write head sliders, so even makers with dry factories ran short. Retail hard drive prices rose 80% or more at the peak in November 2011, and IHS estimated that average selling prices jumped 28% in the fourth quarter. For brands, the takeaway is to map suppliers beyond the first tier and hold safety stock or second sources for single-region components.