2/14/25 |
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Dear [Colleague]:
This week, the whirlwind of activity around U.S. trade policy continued, with potentially dramatic impacts on the electronics industry.
On Thursday, IPC issued a statement warning that new tariffs could raise manufacturing costs, disrupt supply chains, and push production offshore, weakening the U.S. electronics industrial base. Read on for a quick update and visit our trade policy webpage for more details and IPC insights.
Meanwhile, next week, IPC will host the EMS Leadership Roundtable in Washington, providing an opportunity for IPC members to explore critical policy topics, connect with industry peers, and take part in optional meetings with U.S. policymakers. It’s not too late to learn more and register to join us.
I’m also pleased to report we’re launching a series of quarterly roundtable discussions in Tokyo to foster deeper dialogue with Japanese companies and government officials on issues related to the electronics industry. The first one is coming up on March 5; contact me for details.
As always, we welcome and need your insights and feedback.
Chris Mitchell
Vice President, Global Government Relations
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More New Tariffs and Trade Moves; IPC Expresses Concerns: The whirlwind of activity around U.S. trade policy continued this week, with potentially dramatic impacts on the electronics industry. Yesterday, IPC released a statement emphasizing the importance of stable, reliable supply chains and cautioning against the unintended consequences of new tariffs. While all countries should seek to adjust trade relationships in pursuit of greater fairness and mutual benefit, IPC says, the industry is “concerned that new tariffs will raise manufacturing costs, disrupt supply chains, and drive production offshore, further weakening America’s electronics industrial base.” If you agree, please like and share the LinkedIn post by IPC’s John Mitchell.
On Monday, Trump announced a 25% tariff on steel and aluminum imports “without exception,” effective March 12, which could affect many products including cars, appliances, aircraft, and infrastructure. On Thursday, Trump issued a new Fair and Reciprocal Plan promising countermeasures against any U.S. trading partner with policies deemed to have negative impacts on U.S. businesses. The European Commission said it views that policy “as a step in the wrong direction” and it will “react firmly and immediately against unjustified barriers to free and fair trade.”
Meanwhile, in meetings at the White House, Indian Prime Minster Narendra Modi sought to head off new tariffs on his country by bringing a variety of policy “gifts” to Trump, Reuters reports, but Trump told him India won’t be spared from higher tariffs, the Associated Press reports.
IPC continues to engage with the administration and Congress to promote solutions that support long-term growth in the domestic electronics sector. View all the relevant official trade policies along with our IPC rapid updates on our trade policy webpage. And please take our 3-minute survey to let us know how these actions are affecting you. IPC Contact: Chris Mitchell.
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–Chris Mitchell, IPC Vice President of Global Government Affairs, outlining “four things to know about IPC advocacy” in his I-Connect007 Government Circuit column
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European Commission Launches Initiative to Boost AI Investment: The European Commission has unveiled the InvestAI initiative, a major effort to mobilize €200 billion in AI investment across the European Union. Announced this week by EC President Ursula von der Leyen, the initiative aims to strengthen Europe’s AI capabilities by financing four future AI gigafactories. Under the plan, the EU will contribute €50 billion, with the remaining funds to be pledged by private providers, investors, and industry stakeholders. InvestAI is part of the Commission’s broader strategy to enhance Europe’s technological leadership and ensure AI development aligns with European values and regulatory frameworks. The initiative signals the EU’s commitment to fostering AI innovation, supporting industrial transformation, and maintaining competitiveness in the global AI landscape. Read more here. IPC Contact: Alison James.
European Commission Prepares Automotive Action Plan: The future of the automotive sector is high on the agenda for the European Commission, which has launched a short-deadline consultation on the issue here. The consultation follows the official launch of a strategic dialogue on the automotive industry, which IPC welcomes. As the EC begins ramping up an action plan for the sector, IPC has already submitted its contribution to the consultation, emphasizing the critical role of electronics and the urgent need for a corresponding European electronics manufacturing strategy. Addressing the industry’s capacities and dependencies is essential, as outlined in our study Securing Europe’s Electronics Ecosystem and our accompanying Call to Action. IPC Contact: Alison James.
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IPC Launching Quarterly Roundtable in Tokyo: In 2025, IPC is enhancing its activities in Japan by hosting quarterly roundtable discussions to foster deeper dialogue with Japanese companies and government officials on issues related to the electronics industry. The first discussion will be held on March 5 and will focus on “US-Japan Relations Under Trump 2.0.” The event will feature remarks by IPC CEO John Mitchell – who is fluent in Japanese – and former member of Japan’s House of Representatives Akira Amari. To join this in-person event in Tokyo on March 5, please contact IPC’s Chris Mitchell.
IPC Driving Electronics Advocacy Across South Asia: In a recent IPC blog, Arpita Das, IPC India’s Deputy Manager of Events and Communications, shared how IPC is making a significant impact across South Asia, strengthening government relationships and supporting the region’s booming electronics and manufacturing industries. Recent developments include India’s removal of import duties on key electronic components, Malaysia’s workforce upskilling initiatives, and the UAE’s expanding wire harness market. Learn how IPC is shaping the future of electronics in South Asia here. IPC contact: Gaurab Majumdar.
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IPC Members Invited to Participate in New PFAS Survey: The European Chemicals Agency (ECHA) and its committees have highlighted concerns regarding PFAS emissions from fluoropolymers, particularly during manufacturing and waste disposal. In response, the Fluoropolymer Group of Plastics Europe has commissioned consulting firm Ramboll to assess waste management practices, including incineration, landfilling, and recycling. To support this effort, Ramboll has developed an online survey to collect critical data. Your participation is essential in shaping future discussions and decision-making. Contact IPC’s Diana Radovan by 14 March to gain access to the survey.
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IPC EMS Leadership Roundtable: Public Policy and Your Business (Washington, DC), Feb. 19-20: If you care about the future of the EMS sector, join us in DC to dive into key policy topics, network with industry leaders, enjoy a reception and dinner, and participate in optional meetings with policymakers to shape the future of EMS. Learn more and register here.
IPC APEX EXPO 2025 (Anaheim, California), Mar. 15-20: Discover the newest innovations and hear from the best minds in the electronics manufacturing industry. IPC APEX EXPO 2025 will be our industry’s largest event in North America, featuring a world-class trade show, professional development courses taught by industry experts, non-stop networking and more. Learn more and register here.
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![]() With trade tensions rising and tariffs shifting, the future can seem uncertain. Learn more about how the electronics industry is remaining resilient with IPC Chief Economist Shawn DuBravac. His market analysis is found in IPC’s latest Industry Intelligence Insights. Find it here.
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![]() Learn how Canada is aligning its sustainability disclosure requirements with the ISSB global framework, and how that is reinforcing the trend toward standardized, high-quality reporting. This move ensures companies provide consistent, comparable insights on sustainability impacts, risks, and opportunities. Read all about it here. |