IPC Global Advocacy Report

3/10/2023

Dear IPC Members:

I hope you and yours are doing well.

We are pleased to present the latest edition of the IPC Global Advocacy Report, featuring top news and updates on electronics manufacturing advocacy and regulation from around the world in under 1,500 words.

This week, we are excited to announce the formation of the Sustainability for Electronics Leadership Council, a new IPC initiative comprising experts from various sectors of the industry to identify and address the most pressing sustainability challenges faced by the electronics manufacturing industry. Read on for more details on this and other top news stories of the week.

Also, don't forget to take a few minutes to complete our survey on how government policies can either help or hurt electronics manufacturing professionals like you in the next few years. Your input will help shape IPC's advocacy efforts.

Thank you for your continued support!


All the best,

Chris Mitchell
Vice President, Global Government Relations

 

The Headlines at a Glance: 

TOP NEWS OF THE WEEK 

  • New IPC Leadership Council to Address Industry Sustainability Challenges
  • IPC Urges Clarity on IC Substrates and PCBs in CHIPS for America Program

QUOTE OF THE WEEK 

  • IPC’s Matt Kelly and Chris Mitchell Share How to Strengthen U.S. Advanced Electronics Ecosystem

IPC ADVOCACY AND YOU 

  • How Can Government Help or Hurt You in 2023?

ENVIRONMENT AND HEALTH

  • Share Your Input on EPA’s Proposed PFAS Restriction

EUROPEAN UNION

  • EU's Response to U.S. IRA Raises WTO Compliance Concerns
  • EU Commission Seeks Input on Environmental Initiative to Reduce Product Impact

TRADE AND SUPPLY CHAIN

  • Latest Economic Data Shows Mixed View of Global Economy
  • IPC Report Shows Solid Industry Performance Despite Expected Rising Costs

UPCOMING EVENTS

  • What is the Current Economic Outlook for the Electronics Manufacturing Industry?

HELP US SPREAD THE WORD ON SOCIAL MEDIA

KEEP IN TOUCH WITH US


TOP NEWS OF THE WEEK

New IPC Leadership Council to Address Industry Sustainability Challenges: IPC announced this week the formation of the Sustainability for Electronics Leadership Council, aimed at identifying and addressing the most pressing sustainability challenges faced by the electronics manufacturing industry. Comprising experts from various sectors of the industry, including printed circuit board (PCB) design and manufacturing companies, electronics manufacturing services (EMS), and original equipment manufacturers (OEMs), the Leadership Council will work on developing a strategic plan to tackle these challenges. The council aims to present recommendations for a sustainability strategic plan by August 2023. IPC Contact: Kelly Scanlon.

IPC Urges Clarity on IC Substrates and PCBs in CHIPS for America Program: On February 28, the U.S. Department of Commerce released its first funding opportunity under the CHIPS for America act to support U.S. semiconductor manufacturing. The announcement notably included funding for projects related to "advanced packaging,” however, it did not appear to offer funding to printed circuit board (PCB) or IC substrate projects. While the focus on advanced packaging is positive, IPC continues to call for a silicon-to-systems innovation strategy to avoid exacerbating vulnerabilities in U.S. electronics manufacturing capacities and capabilities. Read more in a new IPC blog. IPC Contact: Chris Mitchell.

 

QUOTE OF THE WEEK

“The electronics industry is speaking up now to say: ‘If the United States wants to be a global leader in semiconductor design and manufacturing, it needs to be a leader in advanced packaging as well.’
IPC’s Matt Kelly and Chris Mitchell share their insights on the four government policy decisions needed to build a more robust domestic ecosystem for advanced electronics, including advanced packaging, IC substrates, and printed circuit boards (PCBs).

IPC ADVOCACY AND YOU

How Can Government Help or Hurt You in 2023? IPC is conducting a survey to gather information on the top concerns of electronics manufacturing professionals like you and how government policies can either help or hurt you in the next few years. The survey, which will help shape IPC's advocacy efforts in 2023, takes only a few minutes to complete and is a great opportunity to voice your concerns and shape future policies. Read an IPC blog about how you can be involved in IPC advocacy in 2023. IPC Contact: Jeff Goldberg.

 

ENVIRONMENT & HEALTH

Share Your Input on EPA’s Proposed PFAS Restriction: The U.S. Environmental Protection Agency (EPA) recently proposed a new rule that would block the manufacturing or processing of approximately 330 per- and poly-fluoroalkyl substances (PFAS) listed as “inactive” under the Toxic Substances Control Act (TSCA). The rule, the latest of several measures the EPA is taking to regulate PFAS chemicals, will require companies to file an application before any additional manufacture, import, or processing of listed chemical substances. Please let us know if you have any questions; comments close on March 27. IPC Contact: Suhani Chitalia.

 

EUROPEAN UNION

EU’s Response to U.S. IRA Raises WTO Compliance Concerns: The European Commission is expected to adopt the Net-Zero Industry Act (NZIA) next week to support the transition to climate neutrality and enhance Europe's net-zero industry competitiveness. The legislation, introduced in response to the U.S Inflation Reduction Act (IRA), will introduce measures to support key sectors in transitioning to a net-zero economy in accordance with the Green Deal Industrial Plan. While the European Commission has criticized the IRA’s use of domestic content requirements for violating World Trade Organization (WTO) trade law, the inclusion of similar clauses in the NZIA has raised similar compliance concerns. This development signals a shift in regional industrial strategies towards reducing reliance on global supply chains. IPC Contact: Alison James.

EU Commission Seeks Input on Environmental Initiative to Reduce Product Impact: The European Commission recently launched a call for evidence to determine the first priority products for the Environmental Sustainability Performance Requirements (ESPR) under the EU’s Circular Economy Action Plan. The ESPR aims to improve the sustainability of products throughout their life cycle, while also supporting the EU’s internal market. The EU Commission has proposed a number of end-use and intermediary products, as well as horizontal measures based on an initial impact assessment. A questionnaire on the proposed product priorities is now open, while feedback and comments are due by May 12. Let us know if you have any questions. IPC Contact: Kelly Scanlon.

 

TRADE AND SUPPLY CHAIN

Latest Economic Data Shows Mixed View of Global Economy: The IPC February Economic Outlook report has revealed that economic fundamentals are slowing, but certain sectors like defense and space equipment and other electronics-related industries are holding up well. The report also showed contraction in manufacturing sectors in Europe, the United States, and China, along with a decline in EU electronics manufacturing output. Despite this, manufacturers are continuing to hire, and economists have marginally raised economic growth forecasts for 2023. View the full report here, and learn more on IPC's industry intelligence program here. IPC Contact: Shawn DuBravac.

IPC Report Shows Solid Industry Performance Despite Expected Rising Costs: The electronics industry is performing well, although manufacturers expect to see increased costs of labor, materials, and freight over the next six months, according to IPC’s February Global Sentiment Survey. Meanwhile, manufacturers anticipate that declining freight costs will be a source of significant cost savings in 2023. However, the report showed that profit margins are expected to decline at a significantly higher rate in the Asia-Pacific region compared to North America. Let us know if you have any questions. IPC Contact: Shawn DuBravac.

 

UPCOMING EVENTS

What is the Current Economic Outlook for the Electronics Manufacturing Industry? Virtual, April 4, 2023. Recent economic data is providing a mixed view on the global economy. Is recession the base-case scenario for the United States and Europe? What about inflation and what it means for interest rates? Join IPC Chief Economist Shawn DuBravac for a free webinar on the latest economic data, trends, risks, and possible recession scenarios for 2023. IPC Contact: Shawn DuBravac.


HELP US SPREAD THE WORD ON SOCIAL MEDIA

 

From sustainability and advanced packing to the EMS leadership summit, and the welcome influx of young attendees to the event, Chris Mitchell, IPC Vice President of Global Government Relations shared his annual “Top Ten Takeaways” from IPC APEX 2023 in I-Connect007's Show and Tell issue.

“IPC welcomes the European Chips Act as an important step towards strengthening European leadership in innovation and secure and resilient supply chains. As always, the devil is in the details.” IPC Senior Director, European Government Relations Alison James provided details on the status of the European Chips Act in a recent IPC blog post.

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.

Subscribe to IPC Global Advocacy Report: If you’re a member of IPC, manage your e-mail preferences and opt in to receive “Advocacy” updates. If you are not an IPC member — or you’re not sure — please send a note to friends@ipc.org, and our staff will add you to the list.

Follow us on Twitter and LinkedIn.

Contact one of us if you have any questions or insights to contribute.

See prior editions of Global Advocacy Report.

Explore our IPC Government Relations information online.