Electronics Production | March 13, 2008
German semiconductor market will<br>increase by 4% in 2008
“In 2008 we will see a 4% increase in the German semiconductor market, which will increase turnover to €11 million”, says Dr. Ulrich Schaefer, chairman of the ZVEI Group ‚semiconductor components’.
The growth will be supported by the 4% sales increase in the discrete semiconductor, opto-semiconductor and sensor/actor segment. The 2007 drop in turnover of 4.1% (€-basis) can be attributed to the fluctuating exchange rate of the weak Dollar and a strong Euro. When calculating on Dollar-Basis, this drop will turn into a 4.1% increase. “The 2007 global increase in turnovers lay at 3.2, which pushed sales to $255.6 billion.“ Schaefer is expecting a further increase this year in the semiconductor sales by 7% to $275 billion. This development will be stabilised by all segments: ICs, optosemiconductors, sensors/actors as well as discrete semiconductors. The sales figures for ICs lie above the emerging growth rate. However, the group was not able to determine to what this surplus of 21 billion in ICs can be attributed to; the build-up of stock or a soaring increase in demand. “A possible explanation could be, that the demand from the Chinese market has triggered this increase,“ said Schaefer. The German market for discrete semiconductor, optosemiconductor and sensor/actor has seen a 14% sales drop in 2007. If we suggest a stable exchange rate, we will estimate a 4% increase for 2008. ICs saw a 1.5% drop last year, but ZVEI is expecting a 4% increase in the segment for 2008. Continuous growth in the German automobile industry This market segment has grown with a 4% increase to 15% market share – after a 12% increase in the previous year. This is due to the increased demand in the smart card industry. “However the chip card market is subject to volatile fluctuations, so the increase will be affected by it too,” restricts Schaefer. The positive development in the automotive segment is continuing its growth with a moderate 1%, after a 10% increase in 2007. However, this is due to exchange rate fluctuations and not to a reduce number of units. The automotive segment now holds 35% of the German market. Germany and Japan dominate the global production in this segment with a joint 50%. Data technology was able to stabilise in 2007, after a 15% drop in the previous year. The market share now lies at 32%. Communications however has dropped to a 15% market share. Consumer electronics could stabilise their market share at 3%, despite a 13% drop in sales. ICs stabilise turnover increase in the global markets The turnover increase of the global semiconductor market was mainly due to the increase of ICs to $218 billion in 2007. A smaller increase can also be listed for the discrete semiconductors to $ 16.8 billion. The turnover for optosemiconductors and sensors/actors however dropped to $15.9 billion and $5.1 billion respectively. ZVEI forecasts a 7% increase for the global semiconductor market in 2008 to approximately $275 billion in turnovers. The ICs expect an increase of 7%, sensors/actors a 9% increase, opto-semiconductors increase by 11% and the discrete semiconductors will be able to grow by 6%. The division of market segments shows that data technology, with its 42% share, still uses every second semiconductor. Second biggest segment is Communications with a 21% share. Consumer electronics also holds a 21% share of the market. Automobile was able to hold its market share at 8% , while the industrial segment dropped to a 8% market share. The Asian market signals satiation “The regional development differs greatly“, says Schaefer. Europe and America showed the same demand of electronics equipment in 2007. However, this is due to a stabilisation of the European market, a turnover drop in the American market and the outsourcing to Asian manufacturing locations. Asia/Pacific stabilises at a 50% market share, and Asian growth rates are only marginally above global figures. Japan shows a light drop since 2004 but the market share is, due to high-end consumer electronics, stabile. An average European growth The European market increase of 2.7% is almost as strong as the global semiconductor market. The increase figures are as follows: ICs 3%, sensors/actors 7.7%, discrete semiconductors 0.4%. Optosemiconductors show a 1.2% drop. ZVEI predicts a solid 5% growth for the European market in 2008. Data technology has with 35% the biggest share in the European market. The automotive industry has a 21% market share, Communications are at 20%. The industrial segment holds a 14% market share, while the consumer electronics segment lies stabile at 10%.
NCAB appoints Peter Kruk as new CEO Following the announcement late last year that Hans Ståhl planned to retire in 2020, the board of NCAB Group has now found his successor. Peter Kruk will be taking over as the new CEO of the PCB supplier.
Comtech Telecomm Corp. issues business update New York-based Comtech Telecommunications Corp. has issued a statement on the withdrawal of its business outlook for its fiscal year ending July 31, 2020, as well as an update on its proposed purchase of the Gilat Satellite Networks Ltd.
Xerox provides HP acquisition update Xerox has issued a statement regarding its earlier proposal to buy HP Inc.
As Samsung Display exits the LCD market a major reshuffle is expected According to the latest investigations by the WitsView research division of TrendForce, the oversupply of TV panels in 2019 resulted in a major price drop. As such, panel manufacturers hoped to utilise their excess capacity in 2020 through increasing their production of monitor panels, with Samsung Display (SDC) having the most extensive plans.
Swedish PCB manufacturer updates machine park PCB manufacturer MMAB’s factory in the south of Sweden recently got a new drilling area with updated machines.
Ventec races to build up regional inventories to fight COVID-19 The electronics industry is playing a major role in supporting increased requirements for critical medical devices during the current COVID-19 pandemic. And with that an increase in demand of the building blocks is to be expected.
Elmatica sees a spike in demand - responds with growth in staff Growing demand, new customers and an increase in business within knowledge intensive industries, has reinforced the need for another Country Manager in Poland, a new Technical Manager and an additional resource in the Customer Service Department.
Co-operation negotiations completed at Etteplan Etteplan initiated co-operation negotiations on March 18th 2020 due to temporary changes in customer demand caused by the COVID-19 pandemic. Now, the negotiations have come to a complete.
Indian electronics company support the fight against COVID-19 Indian engineering and technology solutions company, Cyient, says it’s received clearance for its Mysore facility to run its MedTech manufacturing lines to support the production of medical equipment critical in the fight against COVID-19
Tesvolt kickstarts production at new German factory Semi-automated production began today in Europe’s first gigafactory for commercial battery storage systems, located in Wittenberg, Germany.
Global semiconductor materials market revenues slip 1.1% in 2019 Global semiconductor materials market revenues edged down 1.1% in 2019, SEMI reported in its Materials Market Data Subscription (MMDS).
Cirexx Int’l posts COVID-19 update Santa Clara, California-headquartered Cirexx International has released a statement penned by President and CEO Philipp Menges concerning status of operations during the coronavirus pandemic.
Abbott gets OK for fast, portable COVID-19 test Abbott has been granted emergency use authorization (EUA) from the U.S. Food and Drug Administration (FDA) for a rapid molecular point-of-care test for the detection of novel coronavirus (COVID-19).
COVID-19 limits viability for AT&S Considering current events and the effects that the global pandemic is having on logistics and production chains worldwide, AT&S is preparing itself for a decline in demand in some of its customer segments.
Neways provides update on COVID-19 impact The EMS provider says it has taken various measures to limit the risks to the health of its employees, as well as its clients and suppliers. In addition, the company has taken measures to safeguard business continuity.
Samsung Display plans to stop all LCD production in 2020 The South Korean company has reached the decision to end all of its production of LCD panels in its home country and in China by the end of 2020.
Orbit One updates machine park with new selective soldering machine Swedish EMS provider, Orbit One, has invested in a new ERSA selective soldering machine for the production unit in Ronneby, Sweden.
ZOLL pivots to focus on volume for ventilator production Massachusetts-based ZOLL Medical Corporation has shot capacity up to 10,000 ventilators per month in response to the COVID-19 pandemic, representing a nearly 25-fold increase from normal volume production.
Computrol ramps output for ventilator production As the coronavirus pandemic continues its spread through the U.S., Idaho-based Computrol is joining a growing list of electronics manufacturers who are adjusting operations to support companies producing critical healthcare products.
ABB adding jobs, new distribution center in Arizona ABB has announced the creation of a new distribution center in Phoenix, in a move that will bring the company closer to Western U.S. distributors, contractors, industrial customers, and retailers.
8% growth in 2019 drives tenth consecutive year of EDA growth The Electronic System Design (ESD) Alliance Market Statistics Service (MSS) says that the Electronic Design Automation (EDA) industry revenue increased 2.2% for Q4 2019 to USD 2626.3 million, compared to USD 2570.1 million in Q4 2018.
Polestar 2 production begins in Luqiao, China Production of Polestar 2 has officially begun in Luqiao, China. The new electric performance fastback is the first electric vehicle to be produced by the facility.
Kimball Electronics updates on the impact of COVID-19 COVID-19 has disrupted the company’s global operations since its initial outbreak. While Kimball Electronics' facilities in China were initially adversely impacted, they have now resumed normal operations.
First Solar says that it's still operational First Solar says that its manufacturing operations will continue at each of the company’s Wood County, Ohio, Kulim, Malaysia and Ho Chi Minh City, Vietnam facilities at this timeLoad more news