SMT, PCB Electronics Industry News

IPC RELEASES PCB INDUSTRY RESULTS FOR DECEMBER 2012

Jan 31, 2013

Trends in the Book-to-Bill Ratio for Rigid PCBs

Trends in the Book-to-Bill Ratio for Rigid PCBs

Trends in the Book-to-Bill Ratio for Flexible Circuits

Trends in the Book-to-Bill Ratio for Flexible Circuits

Trends in the Book-to-Bill Ratio for Rigid PCBs and Flexible Circuits Combined

Trends in the Book-to-Bill Ratio for Rigid PCBs and Flexible Circuits Combined

Rigid and Flexible PCB Shipments Year-on-Year Growth Rates

Rigid and Flexible PCB Shipments Year-on-Year Growth Rates

IPC - Association Connecting Electronics Industries® announced today the December findings from its monthly North American Printed Circuit Board (PCB) Statistical Program.

PCB Industry Growth Rates and Book-to-Bill Ratios Announced

Rigid PCB shipments were down 16.1 percent in December 2012 from December 2011, and bookings decreased 8.8 percent year over year. Year to date, rigid PCB shipments declined 5.5 percent and bookings decreased 1.7 percent. Compared to the previous month, rigid PCB shipments were up 7.1 percent and rigid bookings increased 19.0 percent. The book-to-bill ratio for the North American rigid PCB industry in December 2012 recovered to 0.99.

Flexible circuit shipments in December 2012 were up 6.7 percent, and bookings were up 9.4 percent compared to December 2011. Year to date, flexible circuit shipments decreased 1.5 percent and bookings decreased 10.0 percent. Compared to the previous month, flexible circuit shipments decreased 7.4 percent but flex bookings were up 20.2 percent. The North American flexible circuit book-to-bill ratio improved to 0.84.

For rigid PCBs and flexible circuits combined, industry shipments in December 2012 were down 14.5 percent and bookings decreased 7.5 percent, compared to December 2011. Year to date, combined industry shipments were down 5.2 percent and bookings were down 2.4 percent. Compared to the previous month, combined industry shipments for December 2012 increased 5.7 percent and bookings increased 19.1 percent. The combined (rigid and flex) industry book-to-bill ratio in December 2012 rose to 0.98.

North American PCB book-to-bill ratios appear to have begun recovering after a downward trend that began in the second quarter of 2012,” according to Sharon Starr, IPC director of market research. “The industry’s sales ended 2012 at 5.2 percent below 2011.”

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 two to three months.

Book-to-bill ratios and growth rates for rigid PCBs and flexible circuits combined are heavily affected by the rigid PCB segment. Rigid PCBs represent an estimated 90 percent of the current PCB industry in North America, according to IPC’s World PCB Production Report.

The Role of Domestic Production

IPC’s monthly survey of the North American PCB industry tracks bookings and shipments from U.S. and Canadian facilities, which provide indicators of regional demand. These numbers do not measure U.S. and Canadian PCB production. To track regional production trends, IPC asks survey participants for the percent of their reported shipments that were produced domestically (i.e., in the USA or Canada). In December 2012, 82 percent of total PCB shipments reported by survey participants were domestically produced. Domestic production accounted for 82 percent of rigid PCB and 80 percent of flexible circuit shipments in December by IPC’s survey participants. These numbers are significantly affected by the mix of companies in IPC’s survey sample, which change slightly in January, but are kept constant through the remainder of the year.

Bare Circuits versus Assembly

Flexible circuit sales typically include value-added services such as assembly, in addition to the bare flexible circuits. In December, the flexible circuit manufacturers in IPC’s survey sample indicated that bare circuits accounted for about 42 percent of their shipment value reported for the month. Assembly and other services make up a large and growing segment of flexible circuit producers’ businesses. This figure is also sensitive to changes in the survey sample, which may occur at the beginning of each calendar year.

Interpreting the Data

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 may reflect cyclical 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 may not be significant unless a trend of more than three consecutive months is apparent. It is also important to consider changes in bookings and shipments to understand what is driving changes in the book-to-bill ratio.

The information in IPC’s monthly PCB industry statistics is based on data provided by a representative sample of both rigid and flexible PCB manufacturers in the USA and Canada. IPC publishes the PCB Book-to-Bill Ratio and the PCB Statistical Program Report each month. Statistics for the previous month are not available until the last week of the following month.


IPC (www.IPC.org) is a global industry association based in Bannockburn, Ill., dedicated to the competitive excellence and financial success of its 3,300 member companies which represent all facets of the electronics industry, including design, printed board manufacturing, electronics assembly and test. As a member-driven organization and leading source for industry standards, training, market research and public policy advocacy, IPC supports programs to meet the needs of an estimated $2.17 trillion global electronics industry. IPC maintains additional offices in Taos, N.M.; Arlington, Va.; Stockholm, Sweden; Moscow, Russia; Bangalore, India; Bangkok, Thailand; and Shanghai, Shenzhen, Chengdu and Beijing, China.
 

 

Jul 23, 2017 -

Senator Ron Johnson Discusses U.S. Policy Priorities in Townhall Discussion with IPC-member Company, VirTex MTI

Jul 17, 2017 -

IPC Extends Deadline on Call for Participation for IPC APEX EXPO 2018 Deadline for technical conference paper abstracts extended to: July 21, 2017

Jul 16, 2017 -

IPC Invites Industry Members to Participate on IPC European Standards Steering Committee

Jul 05, 2017 -

North American PCB Business Weakens but Book-to-Bill Ratio Remains Positive

Jun 29, 2017 -

IPC Invites Industry Leaders to Participate in New Global Data Service Pulse of the Electronics Industry to provide insight on health of industry

Jun 20, 2017 -

Zentech Manufacturing, Inc. First to Recertify for IPC Qualified Manufacturers Listing

Jun 14, 2017 -

IPC Submits Comments to Trump Administration Regarding Modernization of NAFTA

Jun 07, 2017 -

IPC Hand Soldering Competition Winner Crowned at SMT Hybrid Packaging 2017

Jun 01, 2017 -

North American PCB Order Growth Pushes Book-to-Bill Ratio Higher

May 16, 2017 -

IPC Report Details How PCB Manufacturers Meet Current and Future Technology Demands

837 more news from Association Connecting Electronics Industries (IPC) »

Jul 23, 2017 -

PDR Americas Partners with Orr Marketing, Inc. in the Carolinas

Jul 23, 2017 -

Zuken Announces XJTAG DFT Assistant for CR-8000 PCB design suite

Jul 23, 2017 -

SMTA Welcomes New Board Members

Jul 23, 2017 -

SMTA International Technical Program Expands, Includes Research from HDPUG and AREA Consortium

Jul 21, 2017 -

Epec Now Offering PCB Layout and Design Services

Jul 21, 2017 -

Help customer solve problems of 750L machine

Jul 19, 2017 -

Digicom Electronics Receives AS9100:2016 (RevD) Aerospace and ISO 9001:2015 Certifications

Jul 19, 2017 -

Conecsus Presents SMT Metals Waste Recycling Solutions at SMTAI 2017

Jul 19, 2017 -

New Metcal HTD Tips & Hand-piece Increase Throughput and Save Money

Jul 19, 2017 -

Altus Supports Bespoke Desktop Robots for Automated Soldering, from ATN Germany

See electronics manufacturing industry news »

IPC RELEASES PCB INDUSTRY RESULTS FOR DECEMBER 2012 news release has been viewed 1139 times

BGA Rework Services

reflow oven profiler