• Latest
  • Trending
  • All
  • Capacitors
  • Resistors
  • Inductors
  • Filters
  • Fuses
  • Non-linear Passives
  • Applications
  • Integrated Passives
  • Oscillators
  • Passive Sensors
  • New Technologies
  • Aerospace & Defence
  • Automotive
  • Industrial
  • Market & Supply Chain
  • Medical
  • RF & Microwave
  • Telecommunication

Distributors expect robust European sales growth in 2018

11.1.2018

TAIYO YUDEN Launches Wire-Wound Automotive Power Inductors

16.5.2022

Skeleton Announces Agreement with Polish ZPUE for Rail Energy Storage Solutions

16.5.2022

European Electronic Components Distribution Under Strong Demand and Allocation in Q1 2022

16.5.2022

Tecate Releases Small-Cell 3V Supercapacitors

16.5.2022
  • Home
  • Privacy Policy
  • EPCI Advertisement & Membership
  • About
No Result
View All Result
NEWSLETTER
Passive Components Blog
  • Home
  • NewsFilter
    • All
    • Aerospace & Defence
    • Antenna
    • Applications
    • Automotive
    • Capacitors
    • Filters
    • Fuses
    • Inductors
    • Industrial
    • Integrated Passives
    • Market & Supply Chain
    • Medical
    • New Materials & Supply
    • New Technologies
    • Non-linear Passives
    • Oscillators
    • Passive Sensors
    • Resistors
    • RF & Microwave
    • Telecommunication

    TAIYO YUDEN Launches Wire-Wound Automotive Power Inductors

    Skeleton Announces Agreement with Polish ZPUE for Rail Energy Storage Solutions

    European Electronic Components Distribution Under Strong Demand and Allocation in Q1 2022

    Tecate Releases Small-Cell 3V Supercapacitors

    3D Systems to Deliver 3D Printed RF Components for Satellite Applications

    Kyocera to Build its Largest Plant in Japan for Crystals and Semiconductor Packages

    TDK to Build New Automotive MLCC Production Plant in Japan

    Supercapacitors Assist Diesel Locomotives Start At Winter Conditions

    Bourns Releases High Current Shielded Power Inductor in Compact Size

    Trending Tags

    • Ripple Current
    • RF
    • Leakage Current
    • Tantalum vs Ceramic
    • Snubber
    • Low ESR
    • Feedthrough
    • Derating
    • Dielectric Constant
    • New Products
    • Market Reports
  • VideoFilter
    • All
    • Antenna videos
    • Capacitor videos
    • Filter videos
    • Fuse videos
    • Inductor videos
    • Non-linear passives videos
    • Oscillator videos
    • Passive sensors videos
    • Resistor videos
    • Sensors

    Soldering THT Components by SMD Reflow Assembly; WE Webinar

    Strain Gage Resistive Sensor Simulation; Vishay Video

    EMC Filters Explained – from Component to Design; WE Webinar

    How to Avoid EMI Noise on Data Cable by Isolated Power Module; WE askLorandt Video

    Introduction to Wireless Power Transfer; WE Webinar

    How to Pass Conducted Emissions Using Line Filters; WE Webinar

    EMI Debugging of a Low Power Buck Converter; WE Webinar

    Flat Wire Inductors for Electrical Cars; WE Webinar

    Ferrite Filter Features and Selection Guide; WE Webinar

    Trending Tags

    • Capacitors explained
    • Inductors explained
    • Resistors explained
    • Filters explained
    • Application Video Guidelines
    • EMC
    • New Products
    • Ripple Current
    • Simulation
    • Tantalum vs Ceramic
  • Knowledge Blog
  • Preferred Suppliers
  • Who is Who
  • Events
  • Home
  • NewsFilter
    • All
    • Aerospace & Defence
    • Antenna
    • Applications
    • Automotive
    • Capacitors
    • Filters
    • Fuses
    • Inductors
    • Industrial
    • Integrated Passives
    • Market & Supply Chain
    • Medical
    • New Materials & Supply
    • New Technologies
    • Non-linear Passives
    • Oscillators
    • Passive Sensors
    • Resistors
    • RF & Microwave
    • Telecommunication

    TAIYO YUDEN Launches Wire-Wound Automotive Power Inductors

    Skeleton Announces Agreement with Polish ZPUE for Rail Energy Storage Solutions

    European Electronic Components Distribution Under Strong Demand and Allocation in Q1 2022

    Tecate Releases Small-Cell 3V Supercapacitors

    3D Systems to Deliver 3D Printed RF Components for Satellite Applications

    Kyocera to Build its Largest Plant in Japan for Crystals and Semiconductor Packages

    TDK to Build New Automotive MLCC Production Plant in Japan

    Supercapacitors Assist Diesel Locomotives Start At Winter Conditions

    Bourns Releases High Current Shielded Power Inductor in Compact Size

    Trending Tags

    • Ripple Current
    • RF
    • Leakage Current
    • Tantalum vs Ceramic
    • Snubber
    • Low ESR
    • Feedthrough
    • Derating
    • Dielectric Constant
    • New Products
    • Market Reports
  • VideoFilter
    • All
    • Antenna videos
    • Capacitor videos
    • Filter videos
    • Fuse videos
    • Inductor videos
    • Non-linear passives videos
    • Oscillator videos
    • Passive sensors videos
    • Resistor videos
    • Sensors

    Soldering THT Components by SMD Reflow Assembly; WE Webinar

    Strain Gage Resistive Sensor Simulation; Vishay Video

    EMC Filters Explained – from Component to Design; WE Webinar

    How to Avoid EMI Noise on Data Cable by Isolated Power Module; WE askLorandt Video

    Introduction to Wireless Power Transfer; WE Webinar

    How to Pass Conducted Emissions Using Line Filters; WE Webinar

    EMI Debugging of a Low Power Buck Converter; WE Webinar

    Flat Wire Inductors for Electrical Cars; WE Webinar

    Ferrite Filter Features and Selection Guide; WE Webinar

    Trending Tags

    • Capacitors explained
    • Inductors explained
    • Resistors explained
    • Filters explained
    • Application Video Guidelines
    • EMC
    • New Products
    • Ripple Current
    • Simulation
    • Tantalum vs Ceramic
  • Knowledge Blog
  • Preferred Suppliers
  • Who is Who
  • Events
No Result
View All Result
Passive Components Blog
No Result
View All Result

Distributors expect robust European sales growth in 2018

11.1.2018
Reading Time: 5 mins read
0 0
0
SHARES
90
VIEWS

source: Electronics Sourcing article

By James Carbone. Electronics distributors are optimistic that European component sales in 2018 will continue to post strong growth after revenue rose at double-digit rates in 2017.

RelatedPosts

TAIYO YUDEN Launches Wire-Wound Automotive Power Inductors

Skeleton Announces Agreement with Polish ZPUE for Rail Energy Storage Solutions

European Electronic Components Distribution Under Strong Demand and Allocation in Q1 2022

Distributors report that component demand in 2017 was robust if not stellar as prices for many passives and semiconductors increased contributing to sales growth. With strong demand, lead times for many passives and discrete semiconductors increased. Lead times for components that typically were 8-12 weeks increased to 25 or more weeks with delivery times for some parts stretching to 40 weeks.

Because of strong demand and increasing prices, distribution sales in Europe will end up growing about 10-12 per cent in 2017, said Adam Fletcher, chairman of trade association Electronic Component Supply Network and chairman of International Distribution Electronics Association. As a result, distribution business in Europe will end 2017 growing an average of 10-12 per cent, he said.

Some distributors say their sales growth in Europe may end up stronger than average. For instance, Avnet says its sales in Europe, Middle East and Africa (EMEA) will finish calendar 2017 growing between 10-20 per cent. Mouser says its sales growth was up more than 30 per cent through late October. Digi-Key said it had 30 per cent year-to-year date sales growth in Europe as of November.

While there may be less price erosion and more stable lead times in 2018, distributors say that component demand in Europe will remain healthy, especially in the first half of the year. The European automotive and industrial market segments will continue to be drivers of component demand in 2018.

Some expect healthy sales growth in Europe to continue beyond 2018 and 2017 was in fact the beginning of a period of long-term growth for distributors.

“I think 2017 was an inflection point for the electronics component industry,” said Fletcher. “I think we are at the beginning of a five-year period of growth because the products of major market drivers are starting to roll out.”

Those market drivers are products related to transportation, including automotive and autonomous vehicles, trucks, trains and planes.

Going autonomous

he impact of development of the autonomous vehicle is being felt in the electronics supply chain. “Autonomous vehicles are really driving quite significant growth,” said Fletcher. Automotive in general is contributing to sales growth as more safety and infotainment systems are designed into more models of vehicles. Even low-cost models are being equipped with more sophisticated electronic systems. Such systems require a wide range of semiconductors including wireless ICs, sensors, microcontrollers among others.

In addition, the development of 5G infrastructure will have a significant impact on the electronics supply chain. While standards for 5G are still being developed, the rollout of 5G infrastructure is expected to begin in 2020, which will further drive component demand over the next five years, said Fletcher. The fifth-generation wireless infrastructure “is going to have a huge impact in terms of base station deployments,” he said. It will also result in more consumers upgrading their phones to be compatible with the new, faster wireless networks. As a result, Fletcher said while “2018 is going to be a time of pretty reasonable growth, 2019 and 2020 will be years of very strong growth.”

He said in 2018 there should be 10-20 per cent growth in electronic component sales globally and about 12 per cent growth in Europe. Carry over growth Many distributors generally agree with that forecast because business in the second half of 2017 was strong and many believe it will carry over into 2018.

Mark Burr-Lonnon, senior vice president, EMEA and Asia for Mouser Electronics, said that Europe is Mouser’s fastest growing region for sales.

“Europe is leading the way. Our business was up 34 per cent (year-to date as of late October) in Europe, while Asia was up 32.5 per cent and the Americas were up 18 per cent,” he said. Mouser’s sales in Europe in 2017 were up 10 points from 2016, said BurrLonnon.

While most of Mouser’s sales are to engineers designing new products, some of the sales increase was due to component shortages. “We put in a lot of inventory this year and people came to us because of shortages,” said Burr-Lonnon.

He said in 2018, Mouser’s European business will remain healthy. Electronics component sales in Europe overall next year is “going to be pretty good at least through the first half of next year. Some are saying it is going to be a good for the full year, with just a few blips in the second half,” he said.

Burr-Lonnon noted that adding new product lines was key to Mouser’s continuing sales growth. “We have consistently added a lot of new lines in the last 10 years. We have over 650 lines and there’s only so many big lines left,” he said.

Burr-Lonnon added that Mouser continues to “backfill with niche lines” to give customers as much choice as possible. Doing so helps to attract new business for Mouser.

Kevin Hess, senior vice president of marketing for Mouser, noted that 20 per cent of Mouser’s sales in 2017 were for products that Mouser added over the last four years. “So that’s what we need to continue to do. We need to make sure when manufacturers launch new products, we are stocking and selling” them because those new products will represent nearly 30 per cent of Mouser’s sales four years from now.

Burr-Lonnon said Mouser’s goal was to have the broadest inventory of parts whether they are from Texas Instruments, ADI, TE, or Molex.

A pleasant surprise

For some distributors, robust component demand in 2017 was an unexpected, but pleasant surprise. “If you look at the calendar year, we are very satisfied. It was a surprisingly good year,” said Georg Steinberger, vice president of marketing and communications for Avnet EMEA. He says sales would be up 10-20 per cent.

“It has been very good business so far in Europe,” he said. Unlike the Americas and Asia, the growth drivers in Europe are automotive and industrial, according to Steinberger. “We don’t have a huge computer business or communications business. Our business is really around automotive and industrial.”

Steinberger noted that in Europe, automotive represents about 35 per cent of semiconductor sales, while industrial accounts for 30- 35 per cent although distribution sales to the segments are not as high. He noted that automakers and their first-tier suppliers have direct relationships with component manufacturers.

Steinberger said that industrial represents about 50 per cent of Avnet’s European business, while automotive is about 25 per cent. However, Avnet is growing its sales to the automotive segment.

“Fifteen years ago, the automotive share of our business was about 15 per cent,” he said.

“The automotive industry, including subcontractors, have discovered distribution is a reliable partner for their business whether it’s on the design side or on the supply chain side,” said Steinberger.

He noted that 70 per cent of distribution’s business in Europe is for semiconductors, while interconnects, passives and electromechanical devices account for 30 per cent of distribution sales.

“Many of the subcontractors in automotive use distribution for semiconductors. But they still get a lot of attention by the manufacturers of connectors or passives,” said Steinberger.

Steinberger said that consolidation impacted sales in 2017 and will likely affect business in 2018. He said in some cases, consolidated companies “cleaned out their product portfolios, resulting in shortages in some product areas” as well as higher prices.

Related Posts

Automotive

TAIYO YUDEN Launches Wire-Wound Automotive Power Inductors

16.5.2022
5
Capacitors

Skeleton Announces Agreement with Polish ZPUE for Rail Energy Storage Solutions

16.5.2022
3
Market & Supply Chain

European Electronic Components Distribution Under Strong Demand and Allocation in Q1 2022

16.5.2022
4

Popular Posts

  • Ripple Current and its Effects on the Performance of Capacitors

    3 shares
    Share 3 Tweet 0
  • Introduction to Capacitor Based Power Factor Correction Circuits

    0 shares
    Share 0 Tweet 0
  • Understanding High-Precision Resistor Temperature Coefficient of Resistance

    0 shares
    Share 0 Tweet 0
  • How to Choose the Right Inductor for DC-DC Buck Applications

    0 shares
    Share 0 Tweet 0
  • Capacitor Selection for Coupling and Decoupling Applications

    28 shares
    Share 28 Tweet 0

Newsletter Subscription

 

  • Home
  • Privacy Policy
  • EPCI Advertisement & Membership
  • About

© 2021 EPCI - Premium Passive Components Educational and Information Site

No Result
View All Result
  • Home
  • News
  • Video
  • Knowledge Blog
  • Preferred Suppliers
  • Events

© 2021 EPCI - Premium Passive Components Educational and Information Site

Welcome Back!

Login to your account below

Forgotten Password?

Retrieve your password

Please enter your username or email address to reset your password.

Log In
This website uses cookies. By continuing to use this website you are giving consent to cookies being used. Visit our Privacy and Cookie Policy.