ECIA’s COVID-19 Survey Update #8 Shows Renewed Optimism
Atlanta, GA – ECIA’s Chief Analyst Dale Ford has posted the latest survey results from ongoing research into what ECIA members are seeing and how they are responding as they manage the impact of COVID-19 crisis on the electronic components supply chain. The most recent results are from a survey ended on June 12th. The responses across a range of measures reflect renewing optimism among supply chain participants that is consistent with improvements seen in general business metrics. Just as employment numbers, retail sales data and stock market performance metrics are improving, the health of the supply chain and outlook for improvement is brightening. Certainly, the challenges of the pandemic remain and concerns regarding a “second wave” continue. In the face of these concerns, the results of the latest electronics components supply chain health survey should give industry participants reason for renewed hope.
Commenting on the survey results, Ford observed, “The survey presents a picture of renewed optimism as concern about impact on the supply chain and extended lead times fell significantly for all major component categories – Passives, Electro-Mechanical and Semiconductors. This survey saw concerns about nearly every stage of the supply chain, including end-market demand, reduce substantially.” The outlook for individual end markets improved in every sector with the exception of medical electronics which already presented the brightest future prospect. All of this has resulted in a major boost in confidence in order backlogs for every component category and every end market.
The Computer & Data Processing, Telecom Infrastructure and Defense/Aerospace markets saw the biggest jump in confidence in future growth. The most recent results show 74% of respondents projecting growth in Medical Electronics followed by 53% for Computers & Data Processing and 40% for Telecom Infrastructure. Consumer Electronics (including Smartphones and Tablets) saw a bipolar change with significant groups shifting from “No Change” or “Don’t Know” to both increasing and declining growth expectations. In Consumer Electronics, 31% now expect growth with 46% projecting a decline. The overall average for end market performance has 37% expecting growth and 42% predicting a decline.
To view the complete synopsis of this latest report, go to www.ecianow.org. Members must login to get the full survey results.
Note: ECIA is conducting a new survey about the impact of COVID-19. The purpose of this survey is to enable visibility on “Business Operations Modifications & Plans and Reopening Schedules” in light of COVID-19 for electronic component manufacturer and distributor companies. Watch for more on this important study.