Dear IPC Members:

We predicted a busy December and, so far, it has not disappointed.

IPC's Thought Leaders Program is gearing up for the release of a report on the state of the U.S. printed circuit board (PCB) industry and what industry and government must do to rebuild it. It’s a powerful follow-up to last month’s report on advanced packaging. Stay tuned to IPC’s social media pages and Global Advocacy Report next week for more information.

Meanwhile, in Washington D.C., the end-of-year push to pass legislation in the U.S. Congress is in full swing, with the annual defense authorization bill and an agreement on raising the debt ceiling having secured approval this week in the U.S. House. The defense bill includes provisions affecting PCBs. The U.S. Senate is expected to pass both pieces of legislation within days.

Meanwhile, there are several opportunities to make your voice heard and help out the entire industry, both in advocating for industry concerns and helping direct IPC’s 2022 government relations activities. Read on below or head over to the IPC Action Alert Center, find an issue you are passionate about, and get involved. It only takes a few minutes!

Please reach out to us if you have any questions or suggestions regarding IPC’s advocacy work. We want to head into the new year with as much momentum as possible, and we cannot do it without you!

All the best, and continue to stay safe,

Chris Mitchell
Vice President, Global Government Relations

TOP NEWS OF THE WEEK

How Can Government Help or Hurt You in 2022? We’re Looking for Your Concerns and Stories: As we look towards 2022, we want to know what are the key challenges you are facing right now, and what about over the horizon? How can the IPC Government Relations team best advocate for you? Please click here to answer a 5-question survey, including one open-ended question where you can write anything from a few phrases to a 100-word story that we can share with others to illustrate the challenges facing our industry. Thank you for your help! IPC Contact: Ken Schramko.

IPC Shares Chemical Compliance Concerns at DoD Conference: IPC’s Kelly Scanlon presented at a Department of Defense (DoD) conference last week, where she addressed how evolving chemical regulations are affecting electronics. She noted that regulators are asking for more information about how chemicals like certain types of per- and polyfluoroalkyl substances (PFAS) “are used in defense applications, the quantities in which they’re used, and what happens to them when equipment is recycled or disposed of.” Please let us know if you have any questions or insight. IPC Contact: Kelly Scanlon.

DEFENSE AND SECURITY

NDAA Secures Approval in U.S. House: The U.S. House passed a compromise version of the National Defense Authorization Act (NDAA) on Tuesday, following a roadblock in the U.S. Senate last week. Notably, the $768 billion annual defense policy bill, which passed with bipartisan support, includes restrictions on acquisitions of certain printed circuit boards (PCBs) susceptible to interference by the Chinese government. The Senate is expected to approve the bill. IPC supports efforts to reduce supply chain risk in critical defense systems. Let us know if you have any questions. IPC Contact: Ken Schramko.

DoD May Offer Incentives to Reach CMMC Compliance: The U.S. Department of Defense (DoD) is considering offering financial or certification incentives to get contractors to reach Cybersecurity Maturity Model Certification compliance before CMMC 2.0 goes live, Federal News Networks reports. CMMC 2.0, unveiled in November, aims to minimize compliance barriers by reducing costs, particularly for small businesses. Read more about what CMMC 2.0 means for our industry in an IPC blog. IPC Contact: Chris Mitchell.

ENVIRONMENT AND HEALTH

Share your Input on Chemicals Common to Plastics and Resins: There are two active opportunities for the electronics industry to share information regarding possible restrictions on Bisphenol A (BPA) and bisphenols of similar concern, which are found in epoxy resins and have utility in electronics. Feedback is due December 22 on a proposed restriction of these chemicals in the European Union. This call for information is an opportunity to provide updated information on uses and alternatives in the downstream uses of polymers and other chemicals. Feedback is also due March 16, 2022, on a Canadian request for information about bisphenols. Are these bisphenols essential to your electronics-related manufacturing processes or electronics products? Do you have data or insights to share? Please let us know. IPC Contact: Kelly Scanlon.

Interested in Chemical and Product Regulations in South Korea? Electronic manufacturers who do business in South Korea will want to take note of the upcoming registration deadline under the Act on the Registration and Evaluation of Chemicals of South Korea (K-REACH). By December 31, all manufacturers and importers of carcinogenic, mutagenic, and reprotoxic substances (CMRs) and existing and new chemical substances that exceed 1,000 tons per year must be notified or registered. See the full list of chemical substances here. IPC Contact: Kelly Scanlon.

EUROPEAN UNION

Commission Expected to Present EU Chips Act in June 2022: The European Commission is set to present legislation next June to expand the bloc’s semiconductor and microchip production. The “EU Chips Act” would align research and development (R&D) across the bloc, coordinate funding, and create a “state of the art ecosystem” for microchip producers. Meanwhile, the commission’s Sustainable Corporate Governance (SCG) proposal, which will introduce binding human rights and environmental due diligence obligations for companies, is scheduled for February 2022 following multiple delays. IPC will continue to work with European policymakers to discuss needed investments across the electronics manufacturing ecosystem so that Europe can truly achieve greater “tech sovereignty.” Let us know if you have any questions. IPC Contact: Alison James.

TRADE AND SUPPLY CHAIN

Higher Costs Hurting Electronics Manufacturing Outlook: Price ncreases within our industry have continued, with nine in 10 electronics manufacturers reporting rising materials costs, and nearly three-fourths reporting rising labor costs, according to data from IPC’s latest Global Sentiment Survey. These numbers highlight what continues to be a challenging environment for electronics as profit margins shrink and supply chain disruptions persist. Read the full report here and stay tuned for next month’s report. IPC Contact: Shawn DuBravac.

IPC’s Latest Economic Trends Report: In this month’s economic report, despite uncertainties now, supply chain disruptions have resulted in unfilled pent-up demand that could signal growth into the first half of 2022. However, the trajectory of the economy will follow the trajectory of the pandemic, and the Omicron variant poses a significant threat to the economy. Check out IPC Chief Economist Shawn DuBravac’s Monthly Economic Outlook Report, and let us know if you have any questions. IPC Contact: Shawn DuBravac.

HELP US SPREAD THE WORD ON SOCIAL MEDIA

IPC recently released two reports, the December sentiment of the global electronics manufacturing supply chain and the December economic outlook, which indicates that material and labor costs continue to be major issues facing the electronics supply chain while inventory and transportation constraints continue to be an impediment to growth.		Read IPC President and CEO John Mitchell's IPC APEX EXPO 2022 interview with I-Connect007 staff members Nolan Johnson and Barry Matties.

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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