IPC Global Advocacy Report

10/14/2022

Dear IPC Members:

This week’s advocacy report is packed with relevant content.

This week’s advocacy report is packed with relevant content. For example, this week, we convened IPC’s first Advanced Packaging Symposium, which brought together industry and government leaders to discuss a common goal: strengthening the electronics manufacturing ecosystem – especially advanced packaging, IC substrates, and PCBs – in North America and Europe, where they are running behind the global competition.

We also released a new report that highlighted how advanced packaging has become the key driver for microelectronics innovation, as well as steps governments can take to bolster advanced packaging capabilities. See TOP NEWS OF THE WEEK below.

There were also significant developments in Europe and Asia, as described below. Don’t miss your opportunities to have a voice in policies that affect you and your company!

As always, our advocacy work is most successful when you are involved. Let us know how government policies and politics are affecting your company.

All the best,

Chris Mitchell
Vice President, Global Government Relations

 

The Headlines at a Glance: 

TOP NEWS OF THE WEEK 

  • IPC Report Highlights Importance of Advanced Packaging Ecosystem

QUOTE OF THE WEEK 

  • Semiconductor Research Corporation’s Todd Younkin Dubs Packaging the “New King”

ENVIRONMENT AND HEALTH

  • Industry Seeks Extension on Maine PFAS Reporting Requirement
  • Forced Labour Proposal a Hot Topic in Europe
  • ECHA Seeks to Designate Flame Retardant as SVHC
  • China Releases Draft List of 14 New Pollutants
  • Vietnam Proposes Restriction of Four Phthalates in New Regulation

EUROPEAN UNION

  • IPC Continues Advanced Packaging Advocacy with European Policymakers

TRADE AND SUPPLY CHAIN

  • United States Imposes New Semiconductor Export Controls on China
  • Commerce Department Seeks Input on CHIPS Incentive Programs

UPCOMING EVENTS

  • Update on PFAS Policies Affecting Electronics: Overview of PFAS Uses

HELP US SPREAD THE WORD ON SOCIAL MEDIA

KEEP IN TOUCH WITH US


TOP NEWS OF THE WEEK

IPC Report Highlights Importance of Advanced Packaging Ecosystem: A new IPC report released this week showed strong industry support for increased public and private investment in advanced packaging efforts. According to the report, 94% of electronics industry leaders believe that improving the performance of semiconductors is increasingly reliant on advanced packaging, while a further 84% believe government initiatives to bolster the semiconductor supply chain require significant investment in advanced packaging capabilities. Let us know if you have any questions. IPC Contact: Chris Mitchell.

 

QUOTE OF THE WEEK

“Packaging is the new king! But don’t forget about the need for chip research and development.”
–Semiconductor Research Corporation President and CEO Todd Younkin delivered the keynote address at IPC’s Advanced Packaging Symposium, where he stressed the importance of investment in 3D heterogeneous integration and the need to inspire and educate the next generation of talent.

 

ENVIRONMENT & HEALTH

Industry Seeks Extension on Maine PFAS Reporting Requirement: The Maine State Chamber of Commerce will be submitting a letter to the Maine Department of Environmental Protection (DEP) requesting a six-month extension of the state’s per- and polyfluoroalkyl substances (PFAS) reporting requirement. As a reminder, in July 2021, Maine enacted a law that will ban PFAS in products for sale in Maine by 2030 and will require companies to test and report products for PFAS beginning January 2023. The deadline to sign onto the letter is November 28. IPC Contact: Suhani Chitalia

Forced Labour Proposal a Hot Topic in Europe: IPC is monitoring the European Commission’s proposal on prohibiting products in the EU market that are made with forced labour. The proposal, which would ban both imported goods and goods made with forced labour in the European Union, which is in line with the EU’s political efforts around due diligence, so we expect timely discussions and decisions by policymakers in the coming year. Read IPC’s recent blog by Suhani Chitalia, IPC’s manager for environmental regulatory affairs, for more on the goals and timeline of the policy. IPC welcomes any insights or questions on this recent proposal. IPC Contact: Suhani Chitalia.

ECHA Seeks to Designate Flame Retardant as SVHC: The European Chemical Agency (ECHA) recently proposed that nine new substances, including Tetrabromobisphenol-A (TBBPA), be classified as substances of very high concern (SVHC), which would trigger adherence to REACH requirements. TBBPA is used in electronics and is critical to flame retardancy for some types of printed circuit boards (PCBs). The consultation closes on Monday, October 17. Please let us know if you have any data or information relevant to TBBPA. IPC Contact: Kelly Scanlon.

China Releases Draft List of 14 Priority Pollutants: On September 24, China’s Ministry of Ecology and Environment (MEE) released a draft list of 14 “Priority Control New Pollutants,” which are chemical substances of high concern in terms of human health and environmental hazards. The public consultation period will end on October 28, while the official list is expected to be finalized by the end of 2022. IPC Contact: Kelly Scanlon.

Vietnam Proposes Restriction of Four Phthalates in New Regulation: The Vietnam Ministry of Industry and Trade (MoIT) recently released a draft of a new Restriction of Hazardous Substances (RoHS) regulation that would add four new phthalates used in electrical and electronic equipment (EEE) to the restriction list. If adopted, the new regulation will come into effect on January 1, 2026. The public consultation will end on Monday, October 17. Let us know if you have any questions. IPC Contact: Kelly Scanlon

 

EUROPEAN UNION

Commission Launches Survey on European Semiconductor Value Chain: On October 10, the European Commission launched a consultation on the European semiconductor value chain. The consultation is the first step toward establishing a monitoring mechanism, introduced in the European Chips Act, that will help Europe anticipate future shortages and supply chain risks in the semiconductor supply chain. The consultation consists of two surveys, one for suppliers – including printed circuit board (PCB) companies – and one for end users and is open until November 11. Let us know if you have any questions. IPC Contact: Alison James.

IPC Continues Advanced Packaging Advocacy with European Policymakers: IPC continues to meet with key European policymakers to highlight the strategic importance of advanced packaging in the European Chips Act. At IPC's latest European Executive Forum, Member of the European Parliament (MEP) Eva Maydell expressed support for a Chips Act that would bolster the entire semiconductor ecosystem, including segments critical to advanced packaging. IPC will continue to work with MEPs to amend and adopt the draft legislation. Please let us know if you are interested in learning more about IPC’s efforts in Europe and read more in a new IPC blog. IPC Contact: Alison James.


TRADE AND SUPPLY CHAIN

United States Imposes New Semiconductor Export Controls on China: Last week, the Biden administration imposed major new export controls aiming to restrict China’s access to critical technologies, especially semiconductors and other chip-making equipment. Under the new rules:

  1. No U.S. semiconductor companies can export to China.
  2. No U.S. citizen can assist in the creation of semiconductor fabrication plants in China.
  3. More than 30 Chinese tech companies were blacklisted and added to the U.S. targeted entities list.

The new rules will notably restrict certain semiconductor manufacturing items and activities involving the “development” or “production” of both packaged and unpackaged advanced ICs in China that meet specified criteria. This package of restrictions “allows the administration to cut off China from certain advanced chips made by American and foreign companies that use U.S. technology,” the New York Times reports. Let us know if you will be affected by this. IPC Contact: Ken Schramko.

Commerce Department Seeks Input on CHIPS Incentive Programs: This week, the U.S. Department of Commerce released a new Request for Information regarding the design and implementation of the CHIPS incentives program as amended by the CHIPS and Science Act, which passed earlier this year. The comment period is open until November 14; IPC intends to submit comments. IPC Contact: Ken Schramko.

 

UPCOMING EVENTS

Update on PFAS Policies Affecting Electronics: Overview of PFAS Uses: Webinar, Oct. 20, 1:00 pm EDT. Updates to the evolving global regulatory landscape on per- and polyfluoroalkyl substances (PFAS) continues to affect the electronics industry’s uses of these chemicals in manufacturing processes and final products. To provide information on the complex nature of the emerging chemical and product regulations and the complex nature of the uses of PFAS in electronics, IPC is hosting a free 30-minute webinar, “Update on PFAS policies affecting electronics: Overview of PFAS Uses." IPC Contact: Kelly Scanlon.


HELP US SPREAD THE WORD ON SOCIAL MEDIA

 

IPC’s September Global Sentiment of the Electronics Supply Chain Report shows challenging conditions ahead for electronics manufacturers as 81% of respondents are experiencing rising material costs and 74% see rising labour costs.

“Advanced packaging must be central to any initiative to bolster a domestic semiconductor industry.” IPC President and CEO John Mitchell welcomed attendees to IPC’s first Advanced Packaging Symposium. The two-day symposium, featuring global experts from industry and government, covers public policy updates, commercial and defense electronics technology drivers, the current business environment for IC-substrates and component assembly and test manufacturing.

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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