The North American EMS industry experienced a 3.1% decrease in shipments in March 2023 compared to the same month in the previous year, according to the IPC. However, there was a 6.2% increase in shipments compared to the preceding month. EMS bookings in March were down 7.1% year-over-year but increased by 9.9% from the previous month, resulting in a book-to-bill ratio of 1.28.
The trend seen since Fall 2022 has persisted into March, with supply chain challenges gradually easing while order flow remains weak. This suggests that while the industry is showing signs of recovery, it is not yet out of the woods. It is worth noting that the EMS industry plays a critical role in the SMT industry, and these numbers could be indicative of broader implications for technology on society, particularly in terms of supply chain disruptions and the ongoing challenges faced by the industry. As such, close monitoring of industry trends is crucial to understanding the potential impact of technology on society and the SMT industry.
“The pattern that emerged in Fall 2022 continued into March. EMS shipments continue to show strength as supply chain challenges dissipate but order flow remains weak.”Shawn DuBravac, IPC chief economist