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North American PCB Industry Sales Down 1.1% in February
March 26, 2020 | IPCEstimated reading time: 2 minutes
IPC announced today the February 2020 findings from its North American Printed Circuit Board (PCB) Statistical Program. The book-to-bill ratio stands at 1.15.
Total North American PCB shipments in February 2020 were down 1.1% compared to the same month last year. Compared to the preceding month, February shipments rose 1.5%.
PCB bookings in February increased 14.2% year-over-year. Bookings in February increased 21.8% from the previous month.
“The coronavirus outbreak in China in late January and February created an unprecedented supply shock that idled significant global capacity and drove a historic increase in new bookings for the North American PCB industry,” said Shawn DuBravac, IPC chief economist. “We expect to see further increases in both new bookings and shipments in the coming month as near-term demand in North America spikes due to dis-allocations in the global supply chain and the medical supply chain ramping production of medical equipment to combat COVID-19.”
Detailed Data Available
Companies that participate in IPC’s North American PCB Statistical Program have access to detailed findings on rigid PCB and flexible circuit sales and orders, including separate rigid and flex book-to-bill ratios, growth trends by product types and company size tiers, demand for prototypes, sales growth to military and medical markets, and other timely data.
Interpreting the Data
The book-to-bill ratios are calculated by dividing the value of orders booked over the past three months by the value of sales billed during the same period from companies in IPC’s survey sample. A ratio of more than 1.00 suggests that current demand is ahead of supply, which is a positive indicator for sales growth over the next three to twelve months. A ratio of less than 1.00 indicates the reverse.
Year-on-year and year-to-date growth rates provide the most meaningful view of industry growth. Month-to-month comparisons should be made with caution as they reflect seasonal effects and short-term volatility. Because bookings tend to be more volatile than shipments, changes in the book-to-bill ratios from month to month might not be significant unless a trend of more than three consecutive months is apparent. It is also important to consider changes in both bookings and shipments to understand what is driving changes in the book-to-bill ratio.
IPC’s monthly PCB industry statistics are based on data provided by a representative sample of both rigid PCB and flexible circuit manufacturers selling in the USA and Canada. IPC publishes the PCB book-to-bill ratio by the end of each month.
About IPC
IPC (www.IPC.org) is a global industry association based in Bannockburn, Ill., dedicated to the competitive excellence and financial success of its 5,800-member company sites which represent all facets of the electronics industry, including design, printed board manufacturing, electronics assembly and test. As a member-driven organization and leading source for industry standards, training, market research and public policy advocacy, IPC supports programs to meet the needs of an estimated $2 trillion global electronics industry. IPC maintains additional offices in Taos, N.M.; Washington, D.C.; Atlanta, Ga.; Miami, Fla.; Brussels, Belgium; Bangalore and New Delhi, India; Bangkok, Thailand; and Qingdao, Shanghai, Shenzhen, Chengdu, Suzhou and Beijing, China.
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