Electronics Industry Update

-- Semiconductor International, 11/1/1998

Worldwide Sales of Semiconductor Devices Historical Data: WSTS Forecast: Cahners Economics	Production Trends, Forecasts of Computers Historical Data: Federal Reserve Board Forecast: Cahners Economics
Production Trends of Electronic Components Historical Data: Federal Reserve Board Forecast: Cahners Economics	Production Trends, Forecasts of Consumer Electronics Historical Data: Federal Reserve Board Forecast: Cahners Economics

The problems of electronics markets have yet to have discernible impact on the computer industry. August 1998 computer industry (SIC 357) output was 2.5% higher than July. For the year ending in August, cumulative computer/office equipment production grew by 42.6% according to the Federal Reserve Board. Through August, total SIC 357 production ran 45.4% ahead of the 1997 pace. Output from the nation's communications equipment industry grew 0.4% during July, below June's 1.5% gain. Industrial production in the electronic components industry (SIC 367) rose 1.5% June-July. U.S. unit production in the industry seems to be on a generally even keel despite worldwide semiconductor price decline. Through July, total SIC 367 production ran 29.5% ahead of the 1997 pace. During May-July 1997, SIC 367 output grew at a 36.5% annualized rate; in May-July 1998 industry production increased at a 24.6% annual rate. July output was 21.5% higher than July 1997. The latest month's over-the-year gain was the smallest recorded since February 1994. Given the turmoil in world semiconductor markets, there is every reason to believe that this downward (but still positive) growth trend will persist for some time.

Taiwan's Capital Spending

Source: Strategic Marketing Associates (September 1998)

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