The following statement can be attributed to John Mitchell, president and CEO of IPC, a global electronics industry association:

“The electronics manufacturing industry is pleased that the U.S. House approved the U.S.-Mexico-Canada Agreement (USMCA) with broad bipartisan support. Now we call on Senate Majority Leader Mitch McConnell (R-KY) to bring the legislation to a successful vote in the Senate as soon as possible.

“With electronics exports making up over 30 percent of U.S. exports of manufactured goods, natural resources and energy exports to Mexico and nearly 20 percent of such exports to Canada, USMCA will pave the way to continued prosperity for electronics manufacturers, U.S. workers and consumers.

“An approved agreement will also accelerate IPC’s efforts to launch new initiatives in Mexico and bolster the industry’s confidence in making investments in human resources and equipment in all three nations.”

Earlier this month, IPC sent a letter to all members of the U.S. Congress, urging them to vote promptly and affirmatively on the USMCA implementing legislation.   

In May, IPC released a study that found the total value of U.S. electronics trade with Canada and Mexico was $155.5 billion in 2017, with trade in electronic systems and components being especially important to the North American automobile industry. Mexico imports 34 percent of U.S. printed circuit board production—larger than the next four largest markets combined.

In a win for U.S. taxpayers, defense readiness, and the electronics industry supply chain, the U.S. House and Senate are poised this week to approve a defense spending bill that includes $5 million for research and development on the issues surrounding lead-free electronics in mission-critical applications.

IPC and dozens of its members and allies supported the request for these funds, which are included in the final version of the Fiscal 2020 defense appropriations bill, being voted upon in the U.S. Senate today. The House has already approved the spending package, and President Trump is expected to sign the measure within hours after its passage.

Over the last 15 years, the commercial electronics industry has largely phased out its use of lead (Pb) in the manufacture of electronic components and circuit assemblies, due to government regulations driven by lead’s harmful effects on human health and the environment. However, the aerospace, defense and high-performance (ADHP) electronics sectors have secured exceptions to these restrictions because there is not enough data to guarantee the reliability of lead-free components in ADHP applications.

The lead-free gap between commercial and defense electronics will only grow as lead-free becomes more entrenched in cutting-edge commercial technologies, and as governments – especially the European Commission – seek even more stringent rules on the use of lead.

“The migration of the commercial industry to lead-free electronics has introduced technical and supply-chain concerns in the aerospace, defense and high-performance sectors that can only be addressed through greater, more focused public-private R&D,” said Chris Mitchell, IPC vice president of global government relations. “The funds in this bill will help support the much-needed collective effort and help ensure that mission-critical systems have full access to cutting-edge electronics from a robust global supply chain.”

“Together with our partners in the Pb-Free Electronics Risk Management (PERM) Council, IPC will continue to advocate for a proactive, long-term approach to this issue,” Mitchell added.

IPC and its partners believe that a five-year, $40 million investment in a public-private R&D program would yield more than $100 million in U.S. defense savings per year and improve military readiness and overall innovation.

For more information, read this IPC Blog from April 2019. 

IPC announces the release of IPC-8921, Requirements for Woven and Knitted Electronics Textiles (E-Textiles) Integrated with Conductive Fibers, Conductive Yarns and/or Wires.

Developed through input from 140 members of the IPC D-72 Textiles Materials Subcommittee, IPC-8921 establishes classifications and designations for e-textiles integrated with e-fibers, e-yarns and e-wires and standardizes key characteristics, durability testing and industry test methods. Key characteristics include electrical resistance, electromagnetic immunity, thermal conductivity, coefficient of thermal expansion (CTE), specific heat capacity, thermal shock resistance, outgassing, Tg and melting point.

IPC-8921includes 20 new terms and definitions for e-textiles and will set quality assurance provisions and test frequency. It is the first baseline compilation that merges the textile industry and the electronic performance attributes in one document. When used as a benchmark of e-textile performance, products can be analyzed and compared for use in any application. Development expectations and outcomes can be shared between user and seller for transparency.

“We are thrilled to release IPC-8921,” said Stephanie Rodgers, director of advanced product development, Apex Mills, and co-chair of the IPC D-72 Textiles Materials Subcommittee. “This is an international standard representing the collective knowledge of OEMs/Brands, EMS companies, electronic and product design teams, materials suppliers, academia, test laboratories and designers. In the rapidly changing field of e-textiles, we are proud to provide best practices for the industry.”

For more information or to purchase IPC-8921, visit https://shop.ipc.org/IPC-8921-English-D.

The following statement can be attributed to John Mitchell, IPC president and CEO: “The electronics manufacturing industry welcomes the announcement that the U.S. and China have agreed to a "phase one" trade deal bolstering enforcement of China's intellectual property laws and rolling back or postponing retaliatory tariffs on thousands of goods traded between them. 
 
“As documented in a recent IPC study, many IPC members are feeling the pain of higher costs, supply chain disruptions, administrative hassles, and reduced access to valuable markets as a result of the U.S.-China trade war.
 
“We call on the governments of the United States and China to de-escalate the tariffs on both sides; focus on results at the negotiating table and conclude agreements that address long-standing issues of concern to both sides. We also call on all members of the World Trade Organization to restore that body’s ability to play its role as arbiter of international trade disputes, so that nations won’t feel a need to resort to tariffs to resolve disputes.”

The following statement can be attributed to John Mitchell, IPC president and CEO:

“We are pleased that leaders in the U.S. Congress and the Trump administration, as well as the governments of Canada and Mexico and key stakeholders, have reached consensus on USMCA. The agreement is a positive step for the electronics manufacturing industry and millions of U.S. workers and consumers. By prioritizing a modernized and strengthened trade relationship between the U.S., Canada and Mexico, all three nations can strengthen the region's supply chains, expand trade opportunities with partners abroad, and reinforce North America as a bastion of strength and stability in an uncertain world.

“With electronics exports making up over 30 percent of U.S. exports of manufactured goods, natural resources and energy exports to Mexico and nearly 20 percent of such exports to Canada, USMCA will pave the way for continued growth in the electronics industry.

“We thank House Speaker Nancy Pelosi, House Ways and Means Committee Chairman Richard Neal and U.S. Trade Representative Robert Lighthizer for their steadfast efforts to bring this trade agreement to fruition, and we call on the U.S. Congress, Mexican Congress, and Canadian Parliament to act swiftly to pass the agreement’s implementing legislation.”

Today, IPC sent a letter to congressional members, urging them to vote promptly and affirmatively on implementing legislation.  

In May, IPC released a study that found the total value of U.S. electronics trade with Canada and Mexico was $155.5 billion in 2017, with trade in electronic systems and components being especially important to the North American automobile industry. Mexico imports 34 percent of U.S. Printed circuit board production—larger than the next four largest markets combined.

Growth is slowing worldwide and the industry’s outlook is less optimistic than in previous quarters, although it is still generally positive, according to the results of IPC’s fourth-quarter 2019 Pulse of the Electronics Industry survey. Based on responses from 82 companies that make up a representative sample of the industry, global third-quarter 2019 sales growth, averaging 3.0 percent, was at its lowest level since the quarterly survey began in mid-2017. The sales growth the respondents predicted for the current quarter is down further, averaging 2.6 percent.

This quarter’s composite score for the current direction of the business environment also fell to its lowest level since mid-2017. It remains in positive territory, but just barely. Current-state scores for Europe and the Americas turned negative this quarter. Sales, orders and profit margins are moving in a positive direction on balance this quarter, while labor and material costs, ease of recruiting, inventories and order backlogs are having a negative impact on the current state.

The industry’s expected direction in the next six months remained generally optimistic, with all business indicators looking positive. Among the industry segments, PCB fabricators are the most optimistic about the next six months. Overall, however, the six-month-outlook score continued to weaken compared to the first three quarters of this year. This indicates that the industry expects its health to remain generally good through the first quarter of 2020 despite some slowing.

The respondents’ outlook for the next 12 months remains positive but is down substantially from previous quarters. While a majority of respondents in all segments described the 12-month business outlook as very or somewhat positive, only PCB fabricators were unanimous in reporting a positive outlook. The composite scores on the business outlook for the next 12 months are positive in all regions except Asia, where the score declined to neutral (0 on the index). The uncertainty of trade relations between the U.S. And China is a contributing factor to the lackluster 12-month outlook for respondents in Asia. 

A ranking of opportunities that will drive the industry’s future business growth showed that the Internet of Things (IoT) and smart systems is seen as the number one driver, followed closely by growing markets and 5G/high-speed communications. Defense and aerospace topped the list of growing vertical markets cited by the respondents. Medical device and LED lighting markets were also cited.

Respondents also ranked a list of major concerns about conditions in the business environment in terms of their impact on future business growth. Economic uncertainty is the leading concern. Asked about conditions or trends that are significantly increasing their costs, respondents predominantly cited the tight labor market and trade conflicts.

Pulse of the Electronics Industry is a global survey-based data service from IPC that provides a quarterly report on the health of the industry and its outlook for the coming year. The quarterly report shows what factors are driving or limiting growth, and how the outlook differs in various regions and segments of the industry. The confidential surveys are open to all in management positions in the electronics industry. Survey participants receive the report on the quarter’s results.

IPC – Association Connecting Electronics Industries® announces a leadership change within the IPC Education Foundation (IPCEF). At the end of the year, Colette Buscemi, senior director, IPCEF, will leave the Foundation and Charlene Gunter du Plessis, who currently serves as the Foundation’s director of strategic partnerships and programs, will transition into the role of senior director.

Since the Foundation’s inception, Buscemi has successfully built out the philanthropic arm of IPC and took the foundation from an aspiring start-up to an established and fully operational education foundation focused on building a stronger global talent pipeline for the electronics industry. Her accomplishments include the creation of a network of IPC student chapters at universities and community colleges, partnerships with industry leaders to establish and fund an internationally recognized academic scholarship program, and curriculum and credentialing pilot program development oriented to high school students and career technical education instructors.

“I am deeply grateful for the hard work, leadership and creativity that Colette has brought to her role as the Education Foundation’s leader, and the achievements she and her team have made,” said John Mitchell, IPC President and CEO. “I am also grateful to have a phenomenal talent like Charlene who has been with IPC since 2018, step into the role seamlessly.”

Added Buscemi, “I am so pleased that Charlene will be taking the leadership mantle at the Foundation. “She has been a terrific partner and has everything it takes to ensure the continued success of the Foundation in its next phase.”

For more information on the IPC Education Foundation and its mission, visit www.ipcef.org.

In order to optimize processes and profitability, an effective business leader needs to carefully select the right areas for improvement and follow the best implementation path. Covering today’s most pressing challenges in manufacturing and the strategies to mitigate those challenges, senior-level decision makers from international EMS companies will engage in peer-to-peer discussion on opportunities to optimize efficiency, effectiveness and profitability at the EMS Executive Management Meeting on February 3 at IPC APEX EXPO 2020.

Attendees will learn the latest on EMS industry trends and issues, including intelligent manufacturing, tariffs, military spending, lean manufacturing, predictive maintenance, employee engagement, semi-additive processing, cybersecurity, and more.

Noted industry experts from Siemens, John Deere, Aegis Software, Tempo Automation, DOX, MRA, and more will share how they are addressing industry’s toughest challenges.

“The purpose of the EMS Executive Management meeting is to give executives and senior-level decision makers the opportunity to gain new insight and learn firsthand how peers are achieving their goals and strengthening their organizations to ensure growth,” said Mark Wolfe, IPC EMS Management Council Chair, John Deere Electronic Solutions.

To register for the EMS Executive Management meeting, or for more information on all the activities taking place at IPC APEX EXPO, including the technical conference,  standards development meetings, professional development courses, and the largest exhibition in North America for printed board design and manufacturing, electronics assembly and test, visit www.ipcapexexpo.org.

IPC announced today the October 2019 findings from its North American Printed Circuit Board (PCB) Statistical Program. Sales and orders in October continued to outpace last year. The book-to-bill ratio rose to 1.11.

Total North American PCB shipments in October 2019 were up 6.2 percent compared to the same month last year. Year-to-date sales growth as of October is 6.9 percent ahead of the same period last year. Compared to the preceding month, October shipments decreased 8.9 percent.

PCB bookings in October increased 2.2 percent year-over-year. Year-to-date order growth is up to 2.9 percent. Bookings in October increased 9.6 percent from the previous month.

“Business for the North American PCB industry continues to outpace last year’s performance,” said Sharon Starr, IPC’s director of market research. “The spike in the book-to-bill ratio to a 19-month high reflects the last three months’ recovery in bookings. These results lay the groundwork for continued sales growth in the next two quarters.”

Note: The January 2019 ratio has been revised since its original publication due to updated data from statistical program participants.


Note: The November 2018, January 2019 and June 2019 growth rates have been revised since their original publication due to updated data from statistical program participants.

View Chart in PDF

Detailed Data Available

Companies that participate in IPC’s North American PCB Statistical Program have access to detailed findings on rigid PCB and flexible circuit sales and orders, including separate rigid and flex book-to-bill ratios, growth trends by product types and company size tiers, demand for prototypes, sales growth to military and medical markets, and other timely data. PCB companies that are IPC members doing business in North America are invited to contact marketresearch@ipc.org for information about participating in 2020.

Interpreting the Data

The book-to-bill ratios are calculated by dividing the value of orders booked over the past three months by the value of sales billed during the same period from companies in IPC’s survey sample. A ratio of more than 1.00 suggests that current demand is ahead of supply, which is a positive indicator for sales growth over the next three to twelve months. A ratio of less than 1.00 indicates the reverse.

Year-on-year and year-to-date growth rates provide the most meaningful view of industry growth. Month-to-month comparisons should be made with caution as they reflect seasonal effects and short-term volatility. Because bookings tend to be more volatile than shipments, changes in the book-to-bill ratios from month to month might not be significant unless a trend of more than three consecutive months is apparent. It is also important to consider changes in both bookings and shipments to understand what is driving changes in the book-to-bill ratio.

IPC’s monthly PCB industry statistics are based on data provided by a representative sample of both rigid PCB and flexible circuit manufacturers selling in the USA and Canada. IPC publishes the PCB book-to-bill ratio at the end of each month. Statistics for the current month are normally available in the last week of the following month.

The Wiring Harness Manufacturer’s Association (WHMA) is now providing Spanish speakers quick and convenient language access through a new Spanish-language website at www.whma.org. With the launch of this new site, WHMA is now able to provide important industry information directly to Spanish-speaking professionals.

WHMA is the ONLY global trade association exclusively representing the cable and wire harness manufacturing industry including manufacturers, their suppliers and customers. WHMA, with IPC, has created the only industry-consensus standard for Requirements and Acceptance of Cable and Wire Harness Assemblies, IPC/WHMA-A-620. This standard is used worldwide and is provided in many different languages including Spanish.

“WHMA/IPC is committed to providing our Spanish visitors with in-language content, and we are passionate on our commitment to be a global organization. Having a Spanish-language website is making this a reality,” said David Bergman, WHMA executive director.

The new Spanish website contains the exact same educational content as the English-language website and includes links to WHMA’s manufacturer and supplier members, pertinent information and events.