North American EMS Industry Up 3.4 Percent in July
August 31, 2023 | IPCEstimated reading time: 1 minute
IPC announced the July 2023 findings from its North American Electronics Manufacturing Services (EMS) Statistical Program. The book-to-bill ratio stands at 1.27.
Total North American EMS shipments in July 2023 were up 3.4 percent compared to the same month last year. Compared to the preceding month, June shipments decreased 0.7 percent.
EMS bookings in June decreased 3.5 percent year-over-year and increased 2.1 percent from the previous month.
“The North American EMS industry saw minimal change in July. The year-to-date trend of weaker orders and stronger shipments remains intact,” said Shawn DuBravac, IPC’s chief economist.
Detailed Data Available
Companies that participate in IPC’s North American EMS Statistical Program have access to detailed findings on EMS sales growth by type of production and company size tier, order growth and backlogs by company size tier, vertical market growth, the EMS book-to-bill ratio, 3-month and 12-month sales outlooks, and other timely data.
Interpreting the Data
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 three to twelve months. A ratio of less than 1.00 indicates the reverse.
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 reflect seasonal 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 might not be significant unless a trend of more than three consecutive months is apparent. It is also important to consider changes in both bookings and shipments to understand what is driving changes in the book-to-bill ratio.
IPC’s monthly EMS industry statistics are based on data provided by a representative sample of assembly equipment manufacturers selling in the USA and Canada. IPC publishes the EMS book-to-bill ratio by the end of each month.
Suggested Items
From Silicon to Systems
09/10/2024 | Andy Shaughnessy, Design007 MagazineFor the past few years, IPC has been championing the term “silicon to systems.” More than a buzzword, it has become a slogan—and even a kind of roadmap—for the organization. The term comes in especially handy when IPC is advocating for this industry in Washington, D.C., often addressing politicians who have little understanding of electronics technology.
The Shaughnessy Report: Silicon to Systems—The Walls Are Coming Down
09/10/2024 | Andy Shaughnessy -- Column: The Shaughnessy ReportTraditionally, most designers of PCBs and ICs have operated in separate silos, unaware of much of what’s happening upstream or downstream. IC designers did their thing, and PCB designers did theirs, and everything worked. Until recently, that is.
A Leader in Sustainability: Talking With Barjouth Aguilar of Flex
09/09/2024 | Lorena Villanueva, IPC Mexico, DirectorI first met Barjouth Aguilar in March 2024 at Women's IPC Day in Ciudad Juarez, Chihuahua, Mexico, an event organized within the framework of International Women's Day, when she participated in a panel meant to inspire attendants to learn more about the role of women in the electronics industry. Barjouth, a fellow Mexican, has become a woman I admire and respect.
Calling All California Employers: Harness State Funding for Workforce Training with IPC and ETP
09/05/2024 | IPCIPC, a global industry association dedicated to its member companies' competitive excellence and financial success, announces a pivotal opportunity for California employers under the Employment Training Panel (ETP) program.
WHMA/IPC Issues Call for Participation for Electrical Wire Processing Technology Expo 2025
09/04/2024 | IPCWHMA/IPC invites engineers, researchers, academics, technical experts, and industry leaders to submit proposals for the Electrical Wire Processing Technology Expo (EWPTE), to be held May 6-8, 2025 at Baird Center in Milwaukee, Wis. The deadline for proposals is on November 8, 2024.