Chris Mitchell
Vice President, Global Government Relations

The Headlines at a Glance: 

TOP NEWS OF THE WEEK 

• IPC Issues June Global Sentiment of the Electronics Supply Chain Report

QUOTE OF THE WEEK 

• IPC’s Shawn DuBravac on Results of June Electronics Supply Chain Report

EDUCATION AND WORKFORCE

• New Book on Workforce Development Benefits IPC Education Foundation

ENVIRONMENT AND HEALTH

• CEPN Finalizes Second Round of Priority Chemicals
• EU Adopts Taxonomy Environmental Delegated Act
• IPC Publishes Sustainability Resource Paper for Members
• IPC Urgently Seeking Member Input on PFAS Chemicals

TRADE AND SUPPLY CHAIN

• IPC Releases European Silicon-to-Systems Report

UPCOMING EVENTS

• IPC IEMI Event, August 1 and 3
• IPC Day in Romania
• IPC High Reliability Forum

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TOP NEWS OF THE WEEK

IPC Issues Report on Global Sentiment of the Electronics Supply Chain: Over the next six months, electronics manufacturers expect to see continued increases in both labor and material costs, although to somewhat of a lesser extent with respect to materials, per IPC’s June 2023 Global Sentiment of the Electronics Supply Chain Report. Additional survey results indicate employee retention this year is comparable to 2022. In an effort to hire new employees, two-thirds (66 percent) of electronics manufacturers have raised salaries/rates beyond what was anticipated, with more than half (54 percent) looking for potential employees in non-traditional places. View full report.

QUOTE OF THE WEEK

“Cost pressures are continuing to recede. The majority of survey respondents are still reporting that labor costs and material costs are rising, but the number of companies experiencing rising costs declined again this month. Less than half of respondents believe material costs will rise in the coming months.” –  Shawn DuBravac, IPC chief economist, comments on IPC’s June 2023 report on June Global Sentiment of the Electronics Supply Chain.

EDUCATION AND WORKFORCE

New Book on Workforce Development Benefits IPC Education Foundation: Last month marked the publication of “Fire Your Hiring Habits: Building an Environment that Attracts Top Talent in Today’s Workforce,” written by IPC President and CEO John W. Mitchell. In the book John addresses one of the most difficult challenges in the electronics manufacturing industry, recruiting and retaining high-skilled workers. Learn how to shake up the hiring status quo, attract and retain top talent, and create a more inclusive work environment. Proceeds from the book will go to IPC Education Foundation to support careers in the electronics manufacturing industry. Click here to learn more.

ENVIRONMENT & HEALTH

CEPN Finalizes Second Round of Priority Chemicals: The Clean Electronics Production Network in June added 16 chemicals to the initial list of 9 process chemicals to be prioritized for elimination or substitution. The chemicals were identified using CEPN member companies’ Manufacturing Restricted Substance List (MRSL), other publicly available MRSLs, CEPN’s Process Chemical Data Collection (PCDC) Tool, and stakeholder nominations. They were then screened against High Hazard Criteria, industry solvents, and the availability of safer alternatives. Worker health and safety as well as product life cycle concerns are both priority sustainability topic areas for the electronics manufacturing industry and CEPN’s work helps to tackle both. To learn more about CEPN’s 2nd Round of Priority Chemicals, visit the CEPN website. IPC Contact: Kelly Scanlon.

EU Adopts Taxonomy Environmental Delegated Act: On June 27, the European Commission adopted an act that outlines a new set of EU Taxonomy criteria for economic activities that substantially contribute to any of the non-climate environmental objectives. Under Annex 2 of the Delegated Act, it is determined that the manufacture of electronical and electronic equipment (EEE) can make a substantial contribution to the transition to a circular economy. The Act specifies that EEE must be designed for long life, repair and guarantee, reuse and remanufacturing, dismantling, and recyclability; and it must incorporate proactive substitution of hazardous substances. The Environmental Delegated Act stems from the EU Taxonomy Regulation, which empowers the Commission to adopt delegated acts to specify how competent authorities and market participants can comply with the larger Taxonomy Regulation. If you have questions on the EU Taxonomy Regulation or Delegated Acts, please reach out to IPC. IPC Contact: Suhani Chitalia.

IPC Publishes Sustainability Resource Paper for Members: In light of the growing need to understand and address environmental sustainability challenges in the electronics manufacturing industry, IPC recently published a white paper that provides an overview of eight sustainability topics that affect the electronics industry. The report also covers several changes needed to help industry move in a more sustainable direction; barriers and pitfalls on the road to sustainability; recommendations for company actions; and more than 30 useful online resources. To learn more, download the paper and explore the links it contains; and visit IPC Sustainability for Electronics and the IPC Chief Technologist Council. IPC Contact: Kelly Scanlon.

IPC Urgently Seeking Member Input on PFAS Uses in Electronics: IPC still seeks PFAS data and information from industry in anticipation of a proposed universal ban on PFAS in the EU. A lack of industry data could result in limited or no advocacy by IPC, which in turn could result in few or no exemptions to the PFAS restriction. Without exemptions, the industry could be forced to decide between withdrawing from the EU market or adopting PFAS alternatives in their products and processes. Please ask someone in your company to fill out this survey ASAP to help us develop our advocacy strategy. The survey includes a list of helpful resources and serves as a “Step 1” to consider where PFAS may be used in the electronics manufacturing supply chain. IPC Contact: Suhani Chitalia.

TRADE AND SUPPLY CHAIN

IPC Releases European Silicon-to-Systems Report: A new report from IPC says the recently enacted European Chips Act is a welcomed step, but “the near singular focus” on the semiconductor industry “has obscured critically important segments of the electronics ecosystem,” specifically printed circuit boards (PCB) and electronics assembly (EMS). Over the last 20 years, the European PCB sector experienced a steep decline, the report says. The EMS sector has experienced “solid” growth, but total demand is met mostly by imports. The report comes as part of IPC’s ongoing dialogue with the European Commission about a “silicon-to-systems" approach. IPC Contact: Alison James.

UPCOMING EVENTS

IPC to Host Annual IEMI Event in India: Chennai, Aug. 1, and Pune, Aug. 3. IPC is hosting Integrated Electronics Manufacturing & Interconnections (IEMI) events in Chennai and in Pune, bringing together designers, manufacturers, traders, suppliers, service providers, and technical experts to explore new business partnerships, gain technical knowledge, and source products and services. The IEMI events follow last year’s successful inaugural gatherings in New Delhi and Bangalore. For more information on Integrated Electronics Manufacturing & Interconnections (IEMI), visit www.ipc.org/ipc-india-iemi or contact Gaurab Majumdar.

IPC Day: Build Electronics Better with Standards and Solutions, Conference Powered by Flex: Timisoara, Romania, Sept. 27-28. The conference will provide a unique opportunity to learn about the latest advancements in electronics manufacturing, participate in industry discussions, and network with a community of professionals dedicated to building electronics better. Presentation and panel discussions will feature industry experts in electronics reliability, e-mobility, medical meets 5G, education and training, and IPC leadership.The world-class lineup includes speakers and panelists from NASA, Stellantis, Bosch, Flex, Indium, IPC, The Polytechnic University, and Vitesco. Registration is free. Visit www.ipc.org/event/ipc-day-build-electronics-better-standards-and-solutions-powered-flex for registration and hotel information.

IPC High Reliability Forum:  Linthicum (Baltimore), Maryland, Oct. 17-19. An event for those who manufacture, design, or test Class 3 electronics for applications with unique safety, reliability, and lifetime requirements, the forum provides a unique opportunity to learn about the latest advancements in electronics, participate in industry discussions, and network with professionals focused on electronics with high reliability requirements. For more information, visit www.ipc.org/event/high-reliability-forum or contact Kim DiCianni.

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In this Altium® OnTrack podcast episode, I got to speak with Nathan Edwards, the new Executive Director of U.S. Partnership for Assured Electronics (USPAE) about the defense electronics ecosystem in the United States. Please take a moment to learn about what this important organization is doing to help us be more sustainable and secure in our supply chain.		“It takes all elements in the supply chain – from silicon to systems – to successfully produce the electronics we all depend on in so many ways.” Sanjay Huprikar, IPC president of European Operations, comments on a new report from IPC that found that key segments of the European electronics manufacturing industry face significant challenges and need more support to strengthen the entire manufacturing ecosystem.

KEEP IN TOUCH WITH US 

Meet the IPC GR Team: Whether it is engaging with policymakers in the Americas, the European Union, or Asia, 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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