ECIA Posts Industry Sentiment Report Based on ECST Survey Results
Atlanta – ECIA Chief Analyst Dale Ford has released his latest Industry Sentiment report based on the Electronic Component Sales Trend survey of July 2021. The survey showed that electronic component market sales growth expectations continue to wane.
Beginning in the summer of 2020 the industry sentiment for the electronics component market sales experienced a major rebound that peaked in the March/April 2021 timeframe according to ECIA’s Electronic Component Sales Trend (ECST) monthly survey. The overall component average sentiment index hit 157.7 in March 2021. However, the following four months has seen a steady loss of month-to-month sales growth momentum. By July 2021 the overall component index had dropped to 128.7 – a decline of 29 index points over four months.
“Concerns related to the economy and the emergence of inflationary pressure could account for the shifting sentiment in the index,” Ford explained. “In addition, supply chain challenges likely add to the concerns as supply constraints in one category have a ripple effect on demand in other areas. Within individual market segments Computers and Telecom Network equipment have seen the biggest decline in positive sentiment. On the other hand, the Avionics/Military/Space segment is seeing improved expectations. Perhaps there is a psychological boost from the first successful space tourist flights. There is certainly cause for optimism looking forward as the continued introduction and market adoption of exciting new technologies should motivate both corporate and consumer demand for next-generation products.”
To access the Industry Sentiment summary report, go to Industry Sentiment July 2021 Outlook Article.
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