Electronics Supply Chain Weekly Digest 09-22-23
DATAPOINT OF THE WEEK:
S&P reported Sep Eurozone Flash mfg PMI of 43.4 vs. 43.5 in Aug and Germany flash mfg PMI of 39.8 vs. 39.1 in August signaling continued deterioration in manufacturing activity with a continued sharp fall in new orders, output, first signs of employment cuts and business confidence which dropped to the lowest levels since Nov 2022. S&P reported Sep Flash mfg PMI for the US of 48.9 vs. 47.9 in August reflecting a continued decline in new orders and output, albeit at a more modest pace. S&P noted business confidence in the US slipped to a nine-month-low at the end of 3Q.
Headlines:
Auto
- Aug light vehicle sales in Europe increased 21% Y/Y on BEV sales strength
- EU countries debate weakening Euro 7 emissions proposal
- TrendForce forecasts EV Charings Stations expanding 3x to 16 million globally by 2026 with Europe and China capacity and vehicle-to-charger ratios well ahead of N.A.
- Sep China xEV sales on track to hit a record high for the second consecutive month says CPCA
- Ford avoids last-minuite walk-out by Canadian union workers
- LM Manufacturing announced furloughing 650 workers due to the UAW strike
- Tesla in talks with Saudi Arabia about setting up manufacturing facility
- VinFast to deliver EVs to Europe this year as EU probes China rivals
- UK car industry hit with confusion over government contemplating climate policy change and pushout of ICE sales ban
- N.A. used car prices increased 1.5% from August in the first 15 days of September
- Toyota to speed up EV production, targeting 600k units by 2025
- UAW to strike more GM, Stellantis plants, but spare Ford on signs of progress
- Ford, GM, Stellantis announced furloughs across N.A. operations
- Automakers question UAW’s strike motives after leaked ‘chaos’ messages
- UAW workers strike at ZF’s plants in Alabama
Industrial/Aerospace
- Boeing raises its China 20-year shipments outlook
Datacenter
- Cisco to buy cybersecurity Spluk for $28B
Semiconductors
- Google considers dropping Broadcom as AI TPU chips supplier, says the Information; Google denies
- GlobalFoundries has won a new $3.1B 10-year contract with US DoD for aerospace and military chips
- Nordic Semis cuts its C3Q outlook citing weaker demand
- Intel notes it will take some time to get datacenter inventory in a good state
- Kioxia’s banks to refinance $13.5 billion loan for Western Digital merger, Bloomberg reports
- Global 200mm fab capacity forecasted to increase 14% from 2023 to 2026 says SEMI; automotive and power capacity to grow 34%
- China semi equipment self-sufficiency up to 40% according to reports from SEMI and Asia
- Qualcomm preparing large-scale layoffs in China and Taiwan according to reports in Asia
- TSMC and Arizona are discussing adding advanced chip packaging capacity
- Toshiba to go private after JIP secures takeover bid
- US finalizes rules to prevent China from benefiting from $52 billion in chips funding
Source:
Edgewater Research
