In this article, ECIA Principal Analyst Dale Ford explores the growing optimism in the electronics supply chain revealed by the latest ECST survey.
The January 2024 ECST survey results bring optimism to the electronic component supply chain. Participants from all walks of life reported significant improvements, creating a positive tone for the year. The Composite Index, a key measure of industry health, rose more than 20 points to 98, its highest level in 21 months and closer to 100, the benchmark for positive growth.
Key highlights of the January 2024 ECST survey
Overall index: It has increased over 20 points to 98, indicating the strength of the industry.
semiconductor: It led the index with 105 points, a jump of 39 points.
Electromechanical and passive components: Both segments saw double-digit improvements.
Despite this growth, the index's overall rise fell short of the 27.8 point improvement expected in December. However, passing the 20-point mark is a significant achievement and signals a strong start to 2024. Survey respondents are optimistic, expecting the index to rise further to 107.4 in February.
Segment-specific insights:
Electromechanical and passive components: showed significant improvement, but growth was 20 and 17 points lower than expected, respectively.
Semiconductors: exceeded expectations by more than 24 points.
Outlook for February: Semiconductors are expected to reach a score of 117, and electromechanical components are expected to cross the 100-point threshold.
The terminal market index in January also showed solid improvement, although it was slightly lower than the component index. In particular, sectors such as avionics/military/space, medical, and industrial have scores above 100. The forecast for February is optimistic, with nearly every market expected to have a score above 100, pushing the overall final market index to a projected 103.1.
ECIA Chief Analyst’s view:
“All three major segments achieved strong growth,” said Dale Ford, principal analyst at ECIA. “Semiconductors delivered an amazing result, jumping nearly 39 points to top the index with 105 points. Electromechanical components and passive components both improved his index scores by double digits in January. achieved.”
Access industry insights:
To understand these trends in more detail, the full overview report is available here. ECIA members can access more detailed insights by logging in here. These reports are invaluable in understanding current market trends and future predictions.
Non-members interested in the latest industry trends can purchase ECST reports at ECIA Reports. This report is essential for staying informed in the rapidly evolving field of electronics.
