Recent Articles

DRAM pricing predicted to fall by 3-8% in 3Q22, says TrendForce

According to TrendForce research, despite the significance of peak season and rising DDR5 penetration, the 3Q22 DRAM market still succumbed to the negative impact of weak consumer electronics demand resulting from the Russian-Ukrainian war and high inflation, which in...

The five biggest MCU suppliers accounted for 82% of sales

Single-chip microcontrollers for embedded control and computing functions are ubiquitous and continue to be designed into more systems. MCU sales rebounded with a 27% increase in 2021 to a record-high $20.2 billion.  The 2021 surge was the highest percentage growth in...

Is inflation poised to ease? Semiconductors and shipping ‘past peak’, says Bloomberg

Jun 14, 2022

A bellwether semiconductor price – a barometer of costs of finished electronics products as diverse as laptops, dishwashers, LED bulbs, and medical devices delivered worldwide – is now half its July 2018 peak and down 14% from the middle of last year, according to Bloomberg.

In addition, the spot rate for shipping containers – which tells us more about expenses we can expect later in the pipeline for apparel in Chicago, luxury items in Singapore or home furnishings in Europe – has declined 26% since its September 2021 all-time high.

“Even as central bankers raise rates, more economists are coalescing around the idea that peak inflation is behind us – though there will be a lag before the lower costs of raw materials filter through to the prices shoppers see,” writes Bloomberg. “Though few forecasters are predicting a return to pre-pandemic prices in the short run, global retail giants like Walmart Inc. are now struggling to unload bloated inventory to a less enthusiastic shopper. So a moderation in those supply-side pressures could eventually allow central bankers to slow their tightening cycles.”

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

For more help with looking at supply chain options, contact Astute Electronics