The production smoothing models state the phenomenon that manufacturers use inventories to smooth production processes when facing fluctuating demand. This study investigates whether this phenomenon exists for the electronic parts and components industry in Taiwan. We first check which product satisfies the production smoothing hypothesis regarding the variance of production and sales. For those products satisfying the hypothesis, we further analyze their parameter estimations like speed of inventory adjustment and degree of production smoothing in production smoothing models . According to our analysis results, there are 12 of 15 products supporting the production smoothing hypothesis. However, only foundry wafer and LED chip have their adjustment and smoothing coefficients satisfying the corresponding model assumptions. This empirical study shows a mixed result on the practicability of production smoothing models for the electronic parts and components industry.