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Market Update Report shows signs of recovery for electronics.

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September 4, 2012 - Summer 2012 edition of Electronics Industries Market Data Update shows leading indicators in North America pointing to stalled economic growth in 2Q but resumption of modest growth in second half of 2012. Year-over-year PCB and semiconductor sales growth rates in North America remained negative in 2Q 2012, while EMS, wet chemistry, and solder were positive. North American PCB book-to-bill ratio remained above parity in 2Q, and sales growth in electronics supply chain slowed globally.

IPC Market Data Update Report Shows Early Signs of Recovery for North American Electronics Supply Chain


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IPC-Association Connecting Electronics Industries
3000 Lakeside Drive
Bannockburn, IL, 60015
USA



Press release date: August 29, 2012

BANNOCKBURN, Ill., USA - Year-on-year sales growth across the global electronics supply chain was mixed in the second quarter of 2012, but is now moving in a positive direction, according to IPC's quarterly report, Electronics Industries Market Data Update. The summer 2012 edition, just published, reports the latest global and regional developments in the economy and the electronics industry, including select findings from IPC's industry statistical programs and leading indicators.

According to the report, reduced growth forecasts from China and continued worries about Greece reinforced concern about a global economic slowdown. Although domestic growth in China is showing resilience, exports remained sluggish in the second quarter due to the slow recovery in the U.S. and contracting economy in Europe.

Leading indicators in North America show signs of stalled growth in the economy in the second quarter, but point to a resumption of modest growth in the second half of 2012.

Year-over-year PCB and semiconductor sales growth rates in North America remained negative in the second quarter of 2012, while EMS, wet chemistry and solder were positive, showing signs of recovery. The North American PCB book-to-bill ratio remained above parity in the second quarter. At the global level, sales growth in the electronics supply chain slowed its downward trend.

The downward headwind afflicting the global economy appears to be spilling into the electronics manufacturing sector, slowing the industry's earlier rebound. Second quarter indicators and the first July 2012 numbers available for North America predict slow growth for the next quarter.

Free to IPC member companies, IPC's quarterly Electronics Industries Market Data Update can be accessed at www.ipc.org/Update. The report is also available by subscription at www.ipc.org/MDU-subscription. For more information on IPC's Electronics Industries Market Data Update and other IPC statistical programs, contact Piyamart Holmgren, IPC's market research coordinator, at PiyamartHolmgren@ipc.org or +1 847-597-2868.

About IPC IPC (www.IPC.org) is a global industry association based in Bannockburn, Ill., dedicated to the competitive excellence and financial success of its 3,100 member companies which represent all facets of the electronics industry, including design, printed board manufacturing, electronics assembly and test. As a member-driven organization and leading source for industry standards, training, market research and public policy advocacy, IPC supports programs to meet the needs of an estimated $2.02 trillion global electronics industry. IPC maintains additional offices in Taos, N.M.; Arlington, Va.; Stockholm, Sweden; Moscow, Russia; Bangalore, India; and Shanghai, Shenzhen and Beijing, China.
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