Electronics Supply Chain Weekly Digest 7-12-24
DATAPOINT OF THE WEEK: China auto retail sales finished 2Q on a downtrend declining 6.7% Y/Y in June and 10% for the quarter, marking the first Y/Y decline since 1Q23, according to China Passenger Car Association (CPCA) data.
NEV retail sales remained in an uptrend, but growth slowed with June sales increasing 29% Y/Y and 2Q sales increasing 16% Y/Y vs +35% growth in the previous quarters. BEV sales increased 10% Y/Y in June but only 2% for the quarter while PHEV sales grew strong 67% in June and 42% in 2Q.
Wholesale numbers were stronger compared to retail sales implying higher sell-in than sell-through and inventory buildup in June. Total exports declined 2% Q/Q in 2Q, while NEV exports dropped 12% 2Q24 vs 1Q24.
Headlines:
Auto
- Mercedes-Benz slows battery plans amid lower EV demand
- BMW reports lower sales in Q2
- EV maker Lucid beats quarterly deliveries estimates helped by price cuts
- BYD shipments reached record level in June, growing 35% Y/Y; 2Q shipments up 40% Y/Y
- BYD to build $1B EV plant in Turkey
- Stellantis’ Italian output to drop sharply if incentives don’t change trend, union says
- EU tariffs hit growth in China’s electric car exports, industry body official says
- Daimler Truck reports lower Q2 sales
- Germany auto sales improved in June but xEV sales remained in a downtrend, down 15% Y/Y
- Tesla China deliveries declined 7% Q/Q and 17% Y/Y in 2Q to the lowest level since 3Q22
- VW may close Brussels factory as low EV demand hits Audi
- Tesla hikes Model 3 prices in Europe due to tariffs on China-made EVs
- US administration to award nearly $1.1 billion to Stellantis, GM for EV production
- Global EV sales up 13% in June, down 7% in Europe, Rho Motion says
- Tesla delays robotaxi launch to October, Bloomberg reports
Telco
- Ericsson Q2 tops forecasts on rising N.America demand for telecom equipment
Aerospace
- Boeing warns customers of further delays on 737 Max, Bloomberg News says
Datacenter
- Musk’s xAI, Oracle end talks on $10 billion server deal
Semiconductors
- Samsung Electronics’ main South Korea union to go on indefinite strike
- onsemi acquires SWIR Vision Systems
- Nexperia invests $200 Million in SiC and GaN development in Hamburg chip facility
- Global semi sales increased 19.3% Y/Y and 4.1% M/M in May
- UMC June results disappoint; Auto and Industrial correction continuing in 2H
- Huawei’s Kirin 9100 mobile SoC build on SMIC’s 5nm expected to be released by year end
- SiCrystal constructing new building to expand silicon carbide wafer production
- MediaTek, Qualcomm expected to launch newest 5G chips on TSMC’s 3nm process in Q4
- Samsung Electronics wins cutting-edge AI chip order from Japan’s Preferred Networks
- TSMC Q2 revenue jumps on AI boost, handily beats market forecasts
- TSMC raises prices for 3nm, but lowers them for 6/7nm due to declining capacity utilization
Other
- Apple aims to ship 10% more new iPhones this year after bumpy 2023
- Foxconn Q2 revenue beats market forecast on AI server demand
- Global PC shipments rise in 2Q, Apple sees biggest jump, IDC says
- Wistron and Inventec project flattish 3Q PC shipments
- China opens tit-for-tat investigation into EU trade barriers