Taiwan's Powerchip sees DRAM shortage in Q3

TAIPEI, March 25 (Reuters) - Taiwan's top DRAM chip maker, Powerchip (5346.TWO), said on Wednesday the sector is likely to face a shortage in the third quarter of this year as a result of production cuts, the company's chairman said.

Powerchip chairman Frank Huang also told reporters that inventories were likely to be depleted by June, as chip makers had cut production to deal with a double whammy of oversupply and plunging prices.

The DRAM chip sector is currently facing its worst-ever downturn. (US$1=T$33.9) (Reporting by Baker Li; Editing by Nick Macfie)