“Today’s agreements reflect the long-standing trust and shared vision between IPC and Taiwan’s electronics industry. As we look ahead, IPC remains committed to fostering forward-looking global partnerships that build a more resilient, innovative, and sustainable electronics manufacturing ecosystem.” 

— John W. Mitchell, IPC President and CEO, in an IPC Blog post about last week’s Industry Leaders Luncheon in Taipei, which convened nearly 60 leaders from government, industry, and academia to discuss future opportunities in electronics manufacturing  

 

U.S.-China Electronics Tensions Continue Despite Tariff Truce: Just one week after the U.S. and China agreed to a 90-day tariff truce, signs of renewed friction are already emerging. While the deal lowered U.S. tariffs on Chinese goods from 145% to 30% and reduced China’s retaliatory rate from 125% to 10%, recent developments suggest the pause may be short-lived. As CNN reports, China has warned of potential “legal consequences” for companies complying with U.S. sanctions, while Chinese state media accused the U.S. of maintaining “suppression and containment” policies even during the de-escalation. Newsweek reports that the Chinese government has signaled further countermeasures in response to continued U.S. sanctions on Huawei and other tech firms.

For electronics manufacturers, the uncertainty complicates investment and supply chain planning, particularly for high-value components such as semiconductors, AI hardware, and printed circuit boards. IPC continues to call for a predictable, pro-manufacturing trade policy that reduces cost burdens, strengthens global supply chains, and avoids escalating measures that risk long-term disruption to the U.S. electronics ecosystem. IPC Contact: Richard Cappetto.    
  
IPC Report: U.S. Risks Losing Momentum in Global Chip Race: IPC last week released a new report detailing the scale of U.S. semiconductor investments and the growing risks of falling behind the global competition. The report found there are 90 announced U.S. projects across 28 states, fueled by $36 billion in CHIPS Act awards and significant private-sector funds, with an estimated 58,000 jobs in the pipeline. However, it also warns that the U.S. is underinvesting in critical back-end capabilities like advanced packaging and high-performance substrates. Global competitors, including China, Europe, Japan, and South Korea, have aggressive national strategies. “The U.S. needs to maintain its momentum and adopt a broader ‘silicon-to-systems’ strategy,” said IPC’s Chris Mitchell. IPC will use this report to continue to call for a comprehensive, pro-manufacturing strategy that supports the full electronics value chain. IPC Contact: Richard Cappetto.   

 

Netherlands Pushes Policies to Anchor EU Chip Supply Chain: In an interview with CNBC, Dutch  Minister of Economic Affairs Dirk Beljaarts says Europe is working to build “strategic autonomy” in semiconductors, as the continent’s chips coalition is growing from nine to 15 nations. Dutch officials are urging the European Union to act more cohesively in implementing the €43 billion EU Chips Act, emphasizing that Europe must move beyond national silos to build a resilient, end-to-end semiconductor supply chain. As home to ASML, a global leader in chipmaking equipment, the Netherlands is also encouraging expanded cooperation with key countries in Asia, including Japan and South Korea, to bolster supply chain security and technology exchange. IPC continues to support a full value chain approach to semiconductor policy that includes design, packaging, and materials, alongside strong global partnerships. IPC Contact: Alison James.    

 

Mexico Navigates Electronics Tariffs and Certification Developments: Mexico’s electronics sector continues to evolve amid shifting global trade conditions. According to NAPS International, newly imposed U.S. tariffs on select imports have introduced additional cost pressures for manufacturers, prompting some companies to revisit sourcing strategies and cost structures across North America. At the same time, firms are expanding their operational capabilities. I-Connect007 reports that Federal Electronics has received AS9100 certification for its Hermosillo, Sonora facility, strengthening its position in aerospace and defense electronics manufacturing. While rising wages and operational costs are narrowing the gap between Mexico and Asian competitors, Mexico remains a factor in many regional supply chain strategies due to its location, labor base, and trade alignment. IPC Contact: Lorena Villanueva.

Industrial Investment in Mexican EV and Electronics Supply Chains: Mexico’s electronics and electric mobility sectors continue to attract investment activity across several regions. According to Mexico Industry, Chinese firm Yadea has opened a $78.6 million electric motorcycle plant in Ocoyoacac, with annual production capacity of 30,000 units. In Guanajuato, state officials announced over 3,600 hectares available for industrial development across 47 parks, targeting electronics, automotive, and IT sectors (Mexico Industry). A separate Mexico Industry report notes that more than 20 South Korean companies are currently evaluating high-tech expansion opportunities in Mexico, following recent trade outreach by the country’s Deputy Minister of Foreign Trade. Meanwhile, Mexico’s automotive wire harness industry—vital to EV and electronics production—is expanding in hubs like Ciudad Juárez and Guanajuato, though only 3.2% of materials are sourced locally. According to Expo Wiretech, over 90,000 workers have been trained by INADET, with 20% focused on electronics roles. IPC continues to monitor these trends and their implications for supply chain localization, workforce readiness, and regional competitiveness. IPC Contact: Lorena Villanueva.

 

Tokyo Roundtable Spotlights Trade and Tech Innovation: This week, IPC President and CEO John W. Mitchell convened industry leaders in Tokyo for a high-level roundtable exploring the intersection of global trade and technology innovation. The event featured insights from IPC’s Matt Kelly and Chris Mitchell, alongside former LDP Secretary General Akira Amari. Discussions focused on strengthening supply chain resilience, advancing AI and semiconductor collaboration, and elevating the region’s role in shaping global electronics policy. The Tokyo roundtable is the second in IPC’s quarterly executive series in Japan, aimed at deepening regional engagement and surfacing strategic industry priorities. IPC Contact: Yusaku Kono.

India Advances Electronics and Semiconductor Strategy: India is ramping up efforts to strengthen its position in the global electronics and semiconductor landscape. According to Business Standard, the government recently approved key proposals under its Semiconductor Mission in Uttar Pradesh, including projects involving HCL and Foxconn, aimed at boosting domestic chip capacity. In parallel, officials confirmed that the first group of eligible applicants under the Production-Linked Incentive (PLI) scheme for electronic components may be announced within the next month. India has also articulated a national goal of capturing 5% of the global semiconductor market by 2030, a target supported by new investments, government incentives, and a long-term push to move up the electronics value chain. As noted in a recent Business Standard report, the Semicon India program is entering its next phase, with an emphasis on manufacturing, design, and packaging. IPC Chief Economist Shawn DuBravac highlighted this momentum in a recent LinkedIn post, noting how India has evolved from a hub for call centers to an increasingly competitive player in advanced electronics. IPC Contact: Gaurab Majumdar.

 

New EU RoHS Project Launches with Six Exemptions Under Review: The Oeko-Institut, a nonprofit Germany-based research institute, has launched “RoHS Pack 28,” a new project on behalf of the European Commission to evaluate five renewal requests and one exemption revocation under the Restriction of Hazardous Substances (RoHS) Directive. The exemptions under review include uses of mercury in lamps, sensors, and medical devices, as well as lead in explosive initiators and ultrasonic transducers. Companies affected by these exemptions are strongly encouraged to engage early, as RoHS decisions can significantly impact product design, market access, and supply chain continuity. IPC continues to monitor RoHS developments and engage with regulators to ensure a balanced approach that supports innovation and environmental responsibility. IPC Contact: Diana Radovan.

Brazil Proposes REACH-Like Chemical Regulation: Brazil’s Ministry of Environment (MMA) and the National Chemical Safety Commission (CONASQ) released a draft regulation last week, modeled on the EU’s REACH (Registration, Evaluation, Authorisation, and Restriction of Chemicals) framework, now open for public consultation through June 13. The proposed rule outlined how and when polymers will be regulated; how substances will be prioritized for risk assessments; how Confidential Business Information (CBI) will be defined and protected; how exempt “products” will be identified; the structure and responsibilities of new sub-agencies tasked with implementing the system; and deadlines established under Law No. 15.022/2024. The regulation could have broad implications for companies manufacturing or importing chemical substances in Brazil, including electronics manufacturers and suppliers. IPC is reviewing the draft and encourages members with interests in Brazil to engage in the consultation process. IPC Contact: Diana Radovan. 

EPA Delays PFAS Reporting Deadline Under TSCA: The U.S. Environmental Protection Agency (EPA) has extended the reporting deadline under TSCA Section 8(a)(7) for companies that manufactured or imported per- and polyfluoroalkyl substances (PFAS) between 2011 and 2022. The interim final rule, effective May 13, 2025, grants a nine-month extension to allow time for developing and testing the required reporting software. Most manufacturers must now submit data by October 13, 2026, while small article importers have until April 13, 2027. Public comments on the extension can be submitted until June 12, 2025. IPC is monitoring the implications of this rule for the electronics industry and encourages your company to review the updated requirements. IPC Contact: Diana Radovan. 

 

Omnibus Package on Sustainability Reporting - What Should the Electronics Industry Expect, Online, June 5: Get the latest information on the European Commission’s Omnibus Package and proposals related to the Corporate Sustainability Reporting Directive (CSRD), the Corporate Sustainability Due Diligence Directive (CSDDD), and the Carbon Border Adjustment Mechanism (CBAM). Learn more and register here.

EMS Advocacy Day & Public Policy Roundtable, Washington, D.C., June 11: If you’re aiming to be a leader in EMS, join your peers to discuss and advocate on the industry's most pressing challenges and opportunities. Attendees will hear from congressional staff and agency officials, share their perspectives on key issues, and help shape IPC’s advocacy strategy moving forward. Space is limited, so early registration is encouraged. Learn more and register here.   

 

Last Friday, IPC gathered almost 60 influential leaders from government, industry associations, and top electronics companies for an Industry Leaders Luncheon in Taipei.

IPC Chief Economist Shawn DuBravac discusses India’s electronics market: In 2012, India was known for call centers. In 2025, it’s being pitched as the next AI superpower.