Electronics Supply Chain Weekly Digest 7-11-25.
DATAPOINT OF THE WEEK: China retail auto sales remained strong in June with continued double-digit growth Y/Y across all major segments, according to data from the China Passenger Car Association (CPCA).
Total passenger vehicles increased 18% y/y, vs mid-teens growth in the prior 3 months. NEV sales grew 30% Y/Y, and PHEV sales grew 34%, both consistent with the recent trend and ahead of the preliminary estimates.
Auto exports were also strong, growing 27% y/y, continuing the strong trend from May, and improving from the signs of flatlining in April and March. NEV exports accelerated with growth reaching 148% y/y vs 113% in May and a 50-60% increase in the prior months.
Headlines:
Auto/Transportation
- BYD to start assembling electric cars in Brazil
- BMW 2Q deliveries flat Y/Y with growth in Europe offsetting China declines
- Daimler Truck to cut 5000 jobs in Germany by 2030
- Automakers push EV sales as $7,500 US tax credit is set to end
- Ford’s $3b US EV battery plant gets green light for tax aid
- Mercedes reported 9% Y/Y decline in 2Q global vehicle shipments with declines in N.A. and China offsetting growth in Europe
- Nissan to scale back production plan for new EV due to China rare earth curbs
- Stellantis Italian output down 27% in first half, union says
- U.S. auto inventory hits 4-month high in June as sales cool, prices hold steady
- Car import quotas, export credits on table for EU-US trade talks, says Reuters
Industrial
- German industrial output rose more than expected in May
- Tesla halts Optimus robot production plans as hardware woes mount
Semiconductors
- Jiangsu Advanced Memory Semiconductor restructuring collapses, exposing deeper cracks in China’s chip boom
- Infineon ramps up with 300mm GaN strategy as TSMC retreats from GaN foundry
- China’s chip demand surge drives Korean 8-inch foundry utilization to new highs
- Huawei seeks AI chip deals in Middle East, Southeast Asia, Bloomberg News reports
- Chip firms in Malaysia pause investment plans on tariff angst
- Global semi sales remained strong in May, growing 20% Y/Y says SIA
- Samsung warns of 56% profit plunge in Q2, misses estimates
- Electronics now make up 20% of global trade, with components surpassing end products, says Global Electronics Association report
- TSMC 2Q revenue surges 39% Y/Y, surpassing expectations
- TSMC plans two new advanced packaging plants in the US by 2028
Consumer/Other
- Trump puts 35% tariff on Canada, eyes 15%-20% tariffs for others
- Rare earth supply at risk as Myanmar conflict could disrupt China’s production
- German companies are the most optimistic about the economy since early 2022, according to a report by S&P
- Trump to impose 50% tariff on imported copper and semi-finished copper products