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Wk 20 Electronics Supply Chain Digest

19.5.2025
Reading Time: 5 mins read
A A

Electronics Supply Chain Weekly Digest 5-16-25.

DATAPOINT OF THE WEEK: Passenger car retail sales in China declined to 1.79M in April, down 7.7% M/M, but up 16.7% Y/Y, marking the third month out of the last four to record sequential declines according to the China Passenger Car Association (CPCA).

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NEV retail sales reached 905k units, below preliminary estimates of 922k, and represents a 34% Y/Y increase, but a decrease of 8.7% M/M. A Government NEV trade in program has supported NEV sales and is attributed to 2.71M of NEV sales YTD as of April 24th. BEV sales totaled 559k units, up 38% % Y/Y, but down 13.5% M/M.

PHEV was the only segment to see both Y/Y and M/M growth with an increase of 0.3% M/M and 29% Y/Y. NEV penetration stood at 51.5%, up 7 percentage points Y/Y and 0.4 percentage points M/M. NEV exports totaled 189K units, up 44.2% Y/Y and 31.6% M/M, aligning with Chinese OEMs’ goal to grow their global presence.

Headlines:

Auto/Transportation

  • Baidu to launch Apollo Go robotaxi service in Europe, starting with Switzerland
  • BYD becomes Europe’s top PHEV brand in March, accelerates local production amid tariff risks
  • CAAM data shows China NEV sales rise 44% Y/Y in April, reach 47% share of total auto market despite slight M/M decline
  • Daimler Truck cuts 2025 outlook on weak NA demand, tariff uncertainty
  • Ford workers strike in Germany as EV shift and tariffs drive job cuts
  • Global EV sales rise 29% in April, led by China and Europe amid tariff headwinds, according to Rho Motion
  • Honda forecasts 59% profit drop, delays Canada EV plans amid tariffs and China pressure
  • Automakers to adopt hybrid domain-plus-zonal architecture by 2028–2029
  • Mercedes-Benz to move GLC SUV production to Alabama by 2027 amid US tariffs
  • Nissan warns of $3.1B tariff hit, urges US-Japan trade progress amid turnaround plan
  • Tesla to restart China-US component shipments for Cybercab and Semi, targeting 2026 mass production, says Reuters
  • US new-vehicle affordability declines in April as rising prices and loan rates outpace income gains, according to Cox
  • Gravity to launch eight ultra-fast EV charging sites in LA in 2025
  • Xiaomi sees 55% drop in SU7 electric sedan orders after fatal accident raises smart driving safety concerns

Industrial

  • Boeing delivers 45 jets in April, marking fourth consecutive month above 40 despite US-China tensions
  • US mfg output dips 0.4% in April, led by 1.9% decline in vehicle production amid tariff pressures and rising costs

IP&E

  • April China copper imports hit record 3M tons, easing smelter supply pressures 

Semiconductors

  • AI server demand accelerates US and China ASIC development amid export controls
  • BYD unveils megawatt flash charging with in-house SiC chips, aiming for EV efficiency and supply chain independence
  • China accelerates push for local automotive semiconductors as domestic players gain share 
  • GlobalWafers opens first high-volume 12-inch silicon wafer plant in US, backed by $406M CHIPS Act funding
  • Huawei’s expanding semiconductor supply chain and fab footprint in China
  • Intel CFO announces foundry’s path to break even by 2027 and advanced node strategy
  • Murata to invest $19.3M in new Vietnam production facility for automotive and electronics demand
  • Nvidia’s planning for new Shanghai R&D center and strategic focus on China amid export restrictions
  • SiC penetration rising in China’s auto market; overcapacity and pricing pressure raising doubts about market stability
  • US-Saudi $600B AI business commitments and strategic investments
  • Wistron’s new US manufacturing facilities to support Nvidia’s $500B AI server initiative
  • Wolfspeed facing financial struggles and restructuring amid automotive demand downturn and tariffs
  • Xiaomi’s launch of self-developed advanced mobile chip XringO1 to boost high-end device ecosystem

Consumer/Other

  • US-China tariff pause eases pressure on China layoffs amid slowing manufacturing and cautious recovery efforts
  • China’s smartphone market grows 3.3% in 1Q25 led by Xiaomi amid trade tensions and cost pressures
  • China’s trade-in subsidies lose momentum amid fading consumer electronics demand and tariff uncertainties
  • China and US agree to reduce tariffs and ease trade tensions with ongoing negotiations
  • China to ease rare earth export permit approvals to US amid trade deal but controls remain
  • US smartphone imports surge 30% Y/Y in March amid tariff pause and supply diversification

Related

Source: Edgewater Research

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