Bleak outlook amongst ECIA members
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Industry pundits expecting things to go from bad to worse
The Electronic Component Industry Association (ECIA) has recently released the results from its Electronic Component Sales Trend survey (ECST) for August and the third quarter of 2022. So, what the word? Well, ECIA members seems to be expecting things to go from bad to worse.
The data from August 2022 and Q3 2022 reveal expectations that go from bad to worse as the industry moves through the 2nd half of 2022.
ECIA says in a press release that the overall index average slumped from 94.7 in July to 86.0 in August. The one relatively bright spot is the expected stabilization of market sentiment in September, as the outlook calls for a level of 88.4. Just to make it clear, measurements below the benchmark level of 100 indicate negative sales growth.
Passives show the weakest results
Expectations for the Semiconductor market split significantly from the other markets. The index for Semiconductors remained stable between July and August and shows a surprising jump to 100 for the September outlook. Passives however show the weakest results as the index comes in below 78 for August. Expectations for passives and electro-mechanical components in September are roughly equal, above 82.
“Unfortunately, the picture from the quarterly perspective is even more bleak,” warned ECIA Chief Analysts Dale Ford, author of the report, in the press release. “The overall share of those expecting market growth collapsed from 50% in Q2 2022 to 33% in Q3 followed by average expectations of growth reported by only 24% of participants. On the other side, the percentage expecting a declining market worsens from 32% in Q3 to 37% in Q4.”