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Dear IPC Members:
Here in Washington, the dust from the 2022 midterm elections is settling, and while control of the U.S. House and Senate are still up for grabs, all signs indicate that the anticipated Republican wave failed to materialize. Regardless of the final outcomes, we look forward to working with members of both parties in the new Congress to advance policies that increase innovation, investment, and growth to ensure the electronics manufacturing industry’s long-term success. |
Meanwhile, in Europe, stronger sustainability reporting requirements secured a key approval in the European Parliament. The directive will affect all large companies that do business in Europe, and we are monitoring its potential administrative burdens closely.
As always, please do not hesitate to reach out to your IPC Government Relations (GR) team to get involved or ask any questions about IPC’s advocacy activities. And if you have not done so already, take our five-question survey to better direct our GR efforts in 2023.
All the best,
Chris Mitchell
Vice President, Global Government Relations
The Headlines at a Glance:
TOP NEWS OF THE WEEK
- IPC Calls for USG Support of Advanced Electronics Industry
QUOTE OF THE WEEK
- White House Advisor Outlines Strategy to Strengthen U.S. Industrial Base
ENVIRONMENT AND HEALTH
- Industry Seeks Extension on Maine PFAS Reporting Requirement
- New Reporting Rules Adopted by EU Parliament
- ECHA to Consider Restriction of Bisphenol A
- Philippines Releases New Regulations on Two Chemicals
EUROPEAN UNION
- Commission Opens Consultation on Raw Materials Legislation
TRADE AND SUPPLY CHAIN
- Electronics Manufacturers Say Recession Is Inevitable
- IC Substrates: Build It and They Will Come?
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TOP NEWS OF THE WEEK
IPC Calls for USG Support of Advanced Electronics Industry: With the U.S. midterm elections almost behind us, IPC is looking forward to working with all members of the incoming 118th Congress to bolster the U.S. electronics manufacturing ecosystem. Rebuilding the advanced electronics industry in the United States will require a long-term, sustained effort, and it is about more than just semiconductor chips. IPC continues to urge the U.S. government to embrace a “silicon-to-systems" approach. Read more in this IPC issue brief, and let us know if you have any questions. IPC Contact: Chris Mitchell.
QUOTE OF THE WEEK
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“Public investments in research and innovation power the private engine of the American economy. They keep America on the cutting edge — especially when connected to manufacturing … A nation that cedes its manufacturing capabilities risks ceding its technological leadership as well. For decades, we have been ceding that ground.”
– National Economic Council (NEC) Director Brian Deese recently shared the Biden Administration’s plan to strengthen the U.S. industrial base. |
ENVIRONMENT & HEALTH
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Industry Seeks Extension on Maine PFAS Reporting Requirement: According to the Maine Department of Environmental Protection (DEP), exemptions and extensions to the state’s per- and polyfluoroalkyl substances (PFAS) reporting requirement will not be accepted until a final draft of the rule is released in April 2023. However, companies not granted extensions will still have to report their PFAS use in products beginning January 1, 2023. The deadline to sign onto the Maine Chamber of Commerce letter requesting an extension is November 28. IPC Contact: Suhani Chitalia.
New Reporting Rules Adopted by EU Parliament: This week, the European Parliament adopted the Corporate Sustainability Reporting Directive (CSRD), which seeks to strengthen the reporting requirements for sustainability information of certain large companies. Under the directive, large companies operating in the European Union will have to regularly disclose information on their societal and environmental impact. The European Council is expected to formally adopt the proposal on November 28. Read more about the CSRD and the implications for our industry in an April 2021 IPC blog. IPC Contact: Kelly Scanlon.
ECHA to Consider Restriction of Bisphenol A: The European Chemicals Agency (ECHA) is currently considering a German proposal that would restrict the use of Bisphenol A (BPA) and bisphenols of similar concern, which are found in epoxy resins and have utility in electronics. The ECHA will now evaluate the proposal and determine whether it conforms with the legal requirements of Registration, Evaluation, Authorisation, and Restriction of Chemicals (REACH). Is BPA essential to your electronics-related manufacturing processes or electronics products? Please let us know. IPC Contact: Kelly Scanlon.
Philippines Releases New Regulations on Two Chemicals: The Philippines Department of Environment and Natural Resources-Environmental Management Bureau (DENR-EMB) recently released Chemical Control Orders (CCO) for benzene and vinyl chloride, which are both relevant to electronics. CCOs prohibit, limit, or regulate the use, manufacture, import, transport, processing, storage, possession, and sales of certain chemicals. Electronics manufacturers should be aware if these chemicals are present in products and how the upcoming CCOs can impact production. Let us know if you have any questions or concerns. IPC Contact: Suhani Chitalia.
EUROPEAN UNION
Commission Opens Consultation on Raw Materials Legislation: The European Commission recently launched a public consultation on the European Critical Raw Materials Act, which will seek to reduce the EU’s dependency on imported raw materials like lithium, cobalt, and rare earths. The legislation, expected to be presented in 2023, will aim to strengthen EU supply chains while maintaining a sustainable, level playing field. The consultation is open until November 25. IPC Contact: Alison James.
TRADE AND SUPPLY CHAIN
Electronics Manufacturers Say Recession Is Inevitable: Most electronics manufacturing industry executives see a recession as inevitable, according to IPC’s October Monthly Economic Outlook and Global Sentiment Survey. The latest reports show that 45% of respondents believe the economy will enter a recession in 2023, while 27% believe we are already in a recession, Meanwhile, tight financial conditions and an uncertain economic outlook are making both businesses and consumers more cautious. Read the full report here, and let us know if you have any questions. IPC Contact: Ken Schramko.
IC Substrates: Build It and They Will Come? A recent IPC report showed that electronics manufacturing industry leaders are likely to purchase domestically available, advanced IC-package substrates and IC-package assembly from U.S. suppliers if it were cost-competitive. Only 6% of industry leaders reported that they would not buy cost-competitive advanced IC substrates if they were available from U.S. suppliers. Delve deeper into our report on advanced packaging technologies and let us know if you have any questions. IPC Contact: Chris Mitchell.
HELP US SPREAD THE WORD ON SOCIAL MEDIA
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The electronics manufacturing industry and other manufacturing industries are working collaboratively to address emerging policies common to our members, including high-level environmental regulations. IPC's Kelly Scanlon honed in on upcoming EHS issues like PFAS regulations, TSCA, and sustainability. IPC looks forward to further collaborations with other manufacturing associations and industries to ensure success for electronics. |
Advanced packaging is now eclipsing silicon scaling as the key driver for semiconductor component innovation, but more work needs to be done to ensure that government initiatives reflect this technology trend. Marrying investments in chip fabrication with investments in advanced packaging will be critical in the development of robust semiconductor ecosystems. |
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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