Dear IPC Members:

I hope this week’s newsletter finds you and yours doing well.

Here in Washington, D.C. we’re approaching a key juncture in policy discussions affecting electronics manufacturing. If you haven’t already done so, you may want to check out the industry letter IPC sent to U.S. President Joe Biden and Commerce Secretary Gina Raimondo outlining why electronics must be included in any initiatives to bolster U.S. manufacturing.

In the near future, we’ll provide updates on the Biden administration’s FY22 budget request and congressional votes on a technology competitiveness bill – and what they mean for you.

Meanwhile, there are a host of opportunities for you to share your expertise with policy makers on environmental regulations in the U.S., Europe, and Asia. For further information, please see ENVIRONMENT, HEALTH AND SAFETY below or contact IPC Director of EHS Policy and Research Kelly Scanlon.

All the best,

Chris Mitchell
Vice President, Global Government Relations

TOP NEWS OF THE WEEK

Debate Continues on Bipartisan Tech and Competitiveness Bill: Debate continued this week in the U.S. Senate on a wide-ranging bipartisan bill to bolster U.S. technology leadership and competitiveness on the global scale. The United States Innovation and Competition Act, which includes the Endless Frontier Act, would primarily boost investment in research and technology manufacturing. The bill would also create a White House office of manufacturing and industrial innovation policy – an IPC policy priority. While semiconductor manufacturing would be bolstered by the bill, it does not specify electronics as an area for more investment, and we are working to fix that. Read more about the bill here. We will keep you updated as the legislation progresses. IPC Contact: Ken Schramko.

IPC’s Latest Economic Trends Report: The global manufacturing sector has not yet returned to pre-pandemic levels, and “the economies with the most fiscal and monetary support and stimulus will see the strongest growth rates,” according to IPC Chief Economist Shawn DuBravac. Check out the latest U.S. and European data on economic growth, employment, consumer and manufacturers’ sentiment, manufacturing capacity utilization, and end markets for electronics in IPC’s Monthly Economic Outlook Report. Please let us know if you have any questions. IPC Contact: Shawn DuBravac.

ICYMI: IPC Urges Biden Administration to Bolster Entire Electronics Supply Chain: IPC sent a letter last week to the Biden administration outlining how investing in semiconductors to revive U.S. technology leadership, without taking a holistic approach to the entire electronics supply chain, will allow other nations to dominate one of the world’s most critical industries. The 57-CEO letter was sent the day of a semiconductor supply chain summit convened by U.S. Commerce Secretary Gina Raimondo. Read the full letter, complete with seven specific steps to revitalize U.S. electronics manufacturing, here. IPC Contact: Chris Mitchell.
 
Last Chance to Submit Feedback on Revisions to Chemical Regulations: The European Commission is asking for feedback on proposed revisions to two chemicals regulations: the Registration, Evaluation, Authorization and Restriction of Chemicals (REACH) law and the Classification, Labelling and Packaging (CLP) regulation. The REACH revision is particularly relevant to electronics as it proposes simplifying supply chain communications and reforming processes for the authorization and restriction of chemicals. Feedback is due by next Tuesday, June 1; let us know if you have any questions or input. IPC Contact: Kelly Scanlon.

QUOTE OF THE WEEK

“We had no idea just how dependent American manufacturing was on several different locations.”
–  IPC President and CEO John Mitchell joined TTM Technologies CEO Tom Edman for a wide-ranging interview with EMSNow on U.S. manufacturing competitiveness, supply chain resiliency, re-shoring, and other issues affecting electronics.

ENVIRONMENT, HEALTH AND SAFETY

Electronics Industry Submits Comments on EPA’s PIP (3:1) Regulation: On May 17, IPC and other industry groups submitted comments in response to the U.S. Environmental Protection Agency’s (EPA) final risk-management rules for phenol, isopropylated, phosphate (3:1) (PIP (3:1)). PIP (3:1) has a history of use in electronics, and our industry needs a reasonable period of time to comply and to transition to alternatives. Our input will help ensure that the EPA will create realistic risk management strategies. Please read our full comments here, and let us know if you have any questions. IPC Contact: Kelly Scanlon.

Uncertainty Over OSHA Emergency Standard on COVID-19: On April 26, the U.S. Occupational Safety and Health Administration (OSHA) sent its Emergency Temporary Standard (ETS) for COVID-19 to the White House Office of Management and Budget (OMB) for final review. But since then, the Center for Disease Control and Prevention (CDC) and most states have lifted their mask mandates as the risk level continues to fall. The timing for the review is unclear, but if and when the ETS is released, it could take effect immediately. IPC Contact: Kelly Scanlon.

EC Consultation Continues on Sustainable Products Initiative: Your input is needed on the European Commission’s public consultation on its Sustainable Products Initiative. The initiative will revise and expand the Ecodesign Directive and address the presence of harmful chemicals in electronics and ICT equipment, among other products. The consultation runs through June 9. IPC’s advocacy team is interested in hearing from you about this initiative. IPC Contact: Alison James.
 
Interested in Chemical and Product Regulations in the Asia-Pacific Region? China and Japan are the latest countries to undergo an updated deep dive by our environmental, health, and safety (EHS) experts in 2021. Notably, China has released new guidelines for the use and control of 10 chemical substances used in electronics, while Japan has moved to ban perfluorooctanoic acid (PFOA) and its salts. These are just two of our nine white papers on the history of chemical regulations, current regulatory systems, and upcoming trends in the Asia-Pacific region. Let us know if you have any questions or concerns. IPC Contact: Kelly Scanlon. 

Thailand Moves to Add PFOAs to List of Hazardous Substances: Thailand’s Department of Industrial Works (DIW) issued a notice May 3 that, if approved, would add perfluorooctanoic acid (PFOA) and its related compounds to the country’s hazardous substance list and could affect products used in semiconductor manufacturing and electronics. Under the Hazardous Substance Act, PFOAs and other hazardous substances would be subject to strict control, including potential prohibition of production, import, export, or possession. Thailand is also expected to approve new chemical legislation by the end of 2021, which will introduce a risk-based chemicals management system. Please let us know if this move affects your business. IPC Contact: Kelly Scanlon. 

India Nears Completion of Major Chemical Regulation: India is nearing completion of new European-style regulations on chemical substances that would likely affect those in the electronics sector. A final draft of India’s Registration, Evaluation, Authorization and Restriction of Chemicals (REACH) rule – similar to the European Union’s REACH regulation – will be released later this year. Under the rule, existing and new chemical substances manufactured, imported, or used within India will be required to be notified, registered, and reported under certain circumstances by manufacturers and importers, or authorized representatives (AR). Read more about India’s upcoming chemicals legislation in a new IPC blog here; please let us know if you have any questions. IPC Contact: Kelly Scanlon. 

UPCOMING EVENTS

Supply Chain Disruption, Economic Recovery, and What to Expect in the Post-Pandemic World: Virtual, June 8. COVID-19 disrupted nearly every facet of our lives, ushering in a severe recession, and exerting tremendous pressure on supply chains. Discover how supply chains have been impacted and what lies ahead in the recovery as IPC Chief Economist Shawn DuBravac shares the latest economic data, risks, and possible scenarios for 2021 and beyond. IPC Contact: Shawn DuBravac.

Critical Environmental Requirements for Electronics Conference: Virtual, June 29. Join the world’s leading environmental regulatory experts at IPC and ITI’s upcoming conference on critical environmental requirements for electronics. Stay updated on the latest environmental requirements, like Restriction of Hazardous Substances (RoHS), Toxic Substances Control Act (TSCA), and more, that could impact your product’s design, manufacturing, supply chain management, and technology innovation. IPC Contact: Kelly Scanlon.   

KEEP IN TOUCH WITH US

Meet the IPC GR Team: Whether it’s engaging with policymakers in Washington, D.C., in the European Union or in China, the IPC Government Relations (GR) Team proactively seeks opportunities to educate, inform and influence policymakers on policies that spur innovation, growth and competition, while protecting human health and the environment. But our success depends on your support and engagement. Learn more and get involved in IPC advocacy today! IPC Contact: Chris Mitchell.

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