Early March showed a pick-up, but.................
February Orders For Electronic Components Decline 70% From Q1 2000
electronicnews.com
Electronic News
Mar 22, 2001 --- Orders for electronic components continued to decline in February compared to the record-breaking numbers achieved in the first quarter of 2000, according to the Electronics Components, Assemblies & Materials Association (ECA). But early numbers from March indicate some relief, the Arlington, Va.-based association said.
Several OEMs, contract manufacturers and distributors are adjusting inventory levels in reaction to the economic slowdown, the Arlington, Va.-based industry association said. The ECA doesn’t predict an upswing occurring until the second half of 2001.
“Discussions with several of our member companies indicate that most shortages will disappear, though some niche areas may still see significant lead times,” says Bob Willis, ECA president, in a statement. “Several manufacturers see rising costs for raw materials, especially in capacitors, as more of a problem than market demand.”
The book-to-bill ratios for capacitors is about 0.7, according to the ECA, with dollar ratios at 0.9. This indicates that pricing for most categories should remain stable at this time, the ECA said. Previous estimates of component shipments for both handheld devices and land-based infrastructure have been revised because OEMs and contract manufacturers in the telecommunications market are feeling the effects of the downturn.
ECA’s monthly index is derived from weekly order reports from about 30 electronic component companies. |
