Component Sales Forecast: Stable as She Goes

Several research firms describe the electronics market environment as “stable” entering the all-important calendar Q4. Lead times, for example, have leveled out, according to LevaData and the ECIA, and demand shows no sign of abating. However, logistics experts continue to point to seemingly endless backups at international seaports and retailers are bracing for holiday shipping…

Electronics Component Shortage: A Tale of Two Decades

In 2001, there was so much excess component inventory in the supply chain that more than $13 billion worth of semiconductors alone was written down or off by component makers, distributors and customers. People still wince at the memory. In 2021, there’s such a severe shortage of semiconductors that the automotive industry is set to…

Sales Outlook Moderates for Components

Long-term demand for electronic components remains robust although sales expectations for the third and fourth quarters have moderated, according to the ECIA. Concerns and uncertainty related to the economy, inflationary pressure and the resurgence of Covid-19 with potential shutdowns could account for the continuing shift of sentiment, said Chief Economist Dale Ford in a release.…

Optimism Cools on Electronic Component Sales

Optimism regarding electronic component sales has tempered in the past few months, according to ECIA, although demand remains steadfastly high. The economy, inflation and supply chain constraints have likely contributed to softening expectations. It’s also possible that, after six months of chip allocation, OEMs are realistic about the number of parts they can expect to…

Manufacturing Optimism Grows for Remainder of 2021

Purchasing and supply executives expect manufacturing growth will continue for the rest of 2021 with several metrics – capacity, capital expenditures and revenue – exceeding forecasts of late 2020. There is hope that the corner has been turned on the coronavirus pandemic, according to the Institute for Supply Management, and both the U.S. manufacturing and…

ECIA: Component & Product Demand Surges to Dramatic High

Optimism in the electronics market is surging, according to ECIA, bolstering data from a national manufacturing index that reached a 37-year high in March. The ECIA’s Electronic Component Sales Trend (ECST) monthly survey, which assesses month-to-month sales growth sentiment, leapt up between 26 and 27 points in component and end-market measures from February to March.…

shortages, component

Managing the Semiconductor Shortage of 2021, Part 2

A perfect storm of events have converged to create the semiconductor shortage of 2021.  High-level collaboration across the electronics supply chain could make the deficit less painful, experts say. Shortages often prompt less-than-optimum purchasing behaviors. Competitive bidding for inventory drives prices up. Exceptions to approved vendor lists become common. And double-ordering – where purchase orders…

Managing the Semiconductor Shortage of 2021, Part 1

The burgeoning semiconductor shortage of 2021 hit chipmakers “like a ton of bricks,” according to one distributor.  Of course, that’s not the phrase semiconductor suppliers would use. But the supply chain is in the midst of a perfect storm. A convergence of events is creating what’s expected to be a shortage of CPUs, MPUs, memory,…