May 2025

Warm regards,

Thiago Guimarães
Director of Industry Intelligence, IPC

Market Analysis from Shawn DuBravac 

The global economy is at a crossroads, grappling with trade policy impacts, mixed labor market signals, and evolving inflation dynamics. 

The U.S. economy contracted at an annualized rate of 0.3% in Q1, marking its first decline since early 2022. The downturn primarily stemmed from a surge in imports, which jumped 50% as businesses and consumers rushed to buy ahead of anticipated tariffs. This front-loading drove the goods trade deficit to a record $162 billion in March, significantly dragging down GDP. Despite this headline drop, underlying domestic demand remained robust—private consumption and investment both saw modest growth in Q1—indicating the slowdown reflects trade disruptions rather than a broader slump. Still, sustained economic headwinds could erode these gains in coming months. 
READ MORE

EMS: North American EMS Industry Up 0.2 Percent in March 

In March 2025, North American Electronics Manufacturing Services (EMS) shipments edged up 0.2% year-over-year and 4.2% from February, while bookings surged 12.7% year-over-year and 10.5% month-over-month. This surge in bookings, driven by preemptive orders amid geopolitical and tariff uncertainties, pushed the book-to-bill ratio to 1.37, signaling robust demand despite production capacity constraints. 

PCB: North American PCB Industry Shipments Down 3.1 Percent in March 

In March 2025, North American PCB shipments declined 3.1% year-over-year and 2.3% from the previous month, while bookings dropped 31.8% month-over-month, reflecting a significant short-term pullback. Despite this, the book-to-bill ratio remained strong at 1.24, suggesting that demand continues to outpace supply and indicating potential stability in the months ahead. 

The Current Sentiment of the Global Electronics Manufacturing Supply Chain April 2025 

IPC’s latest Global Sentiment Report reveals cautious optimism across the electronics manufacturing supply chain, as demand expectations stabilize but uncertainty lingers in key markets. While orders and production outlooks remain positive, concerns persist over inflation, geopolitical risks, and uneven recovery in Asia and Europe. 

Evolving Compliance and ESG Requirements for Electronics Suppliers - Part 1  
IPC's solutions team explores how e-mobility electronics suppliers can navigate rising sustainability demands, with a focus on the regulatory drivers behind an automotive-specific materials reporting system. This first installment breaks down the evolving ESG data structure and harmonized requirements shaping today’s compliance landscape. 

Wired for Change: Electronics Industry Sentiment on Sustainability 
IPC Evolve was launched with this new report that reveals strong industry momentum toward sustainability, with 59% of companies planning to expand efforts in 2025. This insightful report highlights key drivers, barriers, and the growing need for collaboration to turn sustainability into a competitive advantage. 

Guide to Safer Alternatives in Electronics Manufacturing 
IPC Evolve offers practical guidance for electronics companies looking to replace hazardous chemicals with safer options. Developed in partnership with the Clean Electronics Production Network, this resource helps improve worker safety, reduce compliance costs, and boost competitive advantage across the supply chain.

Supply Chain Resilience is More Critical than Ever 
Market Analysis from IPC Chief Economist Shawn DuBravac 

IPC Chief Economist Shawn DuBravac provides a global snapshot of manufacturing trends and outlines why supply chain resilience is becoming a top priority for electronics producers. With softening U.S. growth, cautious consumer spending, rising input costs, and renewed tariff threats, manufacturers are reassessing sourcing strategies and bracing for more turbulence in a shifting global trade environment. 

Economic Webinar:  
Crosswinds & Crises: Navigating the Economic Crossroads of 2025 

IPC’s latest economic webinar tackled the mounting pressures facing the global economy, from renewed tariffs and inflation to a softening U.S. labor market. Led by Chief Economist Dr. Shawn DuBravac, the session offered critical insights on trade, recession risks, and where the electronics industry fits in a volatile economic landscape. 

EMS & the Economist Podcast:  
EMS & The Economist - Tariffs Special - April 13, 2025 

This impromptu episode of EMS & The Economist features IPC Chief Economist Shawn DuBravac discussing the rapidly evolving tariff landscape and its destabilizing impact on the electronics industry. With rising uncertainty, investment delays, and growing recession risks, the conversation explores how current trade policy may reshape global supply chains and U.S. manufacturing priorities. 

• June 5, 2025 — Evertiq Expo Berlin: IPC’s Christoph Solka will present on the European EMS industry. 
• June 12, 2025 — IPC Day EMS Executives Meeting London: IPC’s Christoph Solka will present on the European EMS industry, with a focus on the UK market. 
• June 25/26, 2025 — in4ma EMS & PCB Forum in Bonn: IPC’s Anastasia Ederer and Christoph Solka will present on EMS D-A-CH region and the situation of the European market.
• September 11, 2025 — TEK.day Gdansk: IPC’s Christoph Solka will present on the current status of the European EMS industry. 
• September 17/18, 2025 — IPC Day EMS Paris

IPC industry intelligence aims to provide valuable insights into the entire global electronics ecosystem. Through in-depth reports and expert analysis, industry thought leaders provide trend evaluations designed to benefit the electronics manufacturing industry. Learn more and explore IPC’s industry intelligence today.

Contact the team:  
Thiago Guimaraes, Director of Industry Intelligence, North America 
Christoph Solka, Director of Industry Intelligence, Europe  
Shawn DuBravac, Chief Economist  
Kate Koger, Public Affairs Coordinator