Europe’s Electronics Component Supply Chains Stay Relatively Healthy Despite Medium-Term Decline Expectations

07 August 2023

Component distribution body DMASS Europe has published figures that show the continent’s shipments in Q2 grew by 10.3% to reach Euro 5.47 billion.

Semiconductor demand remains strong, with shipments here rising by 19.3% to represent a total value of Euro 3.91 billion. This was mainly driven by microcontroller units (MCUs), programmable logic devices (like FPGAs) and power discretes (MOSFETs and IGBTs). The interconnect, passive and electro-mechanical (IP&E) components category was not in such good shape though, down by 7.3% to Euro 1.56 billion. 

According to Hermann Reiter, Chairman of DMASS Europe; “The future of the components industry, while looking generally positive, depends on a variety of massive challenges that can turn the market either way. We must get prepared for that.” However, he continued by noting that; “Customer orders have continued to slow down, which will inevitably result in a weaker second half of the year. Inventories are full and need to be digested. At the same time, availability across the market has improved significantly and instances of components shortages, while still present - for example SIC and GaN devices have reduced a lot.”

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