Industry sentiment for the electronic components market sales rocketed upward in March as quantified by the ECIA’s Electronic Component Sales Trend (ECST) monthly survey.
The survey, which assesses month-to-month sales growth sentiment, leapt up between 26 and 27 points in component and end-market measures from February to March. As shown in the accompanying figure the overall component average soared to 158 points in March compared to 132 points in February.
As participants in the electronic components supply chain know all too well, the jump in product demand has far outpaced the surge capacity of the supply base,” warned ECIA Chief Analyst Dale Ford. “As a result, lead times have extended to such a degree that many companies are struggling to access adequate and timely supply to support demand from their customers. This effect is amplified by the bullwhip effect as increased demand in the end market is amplified up the supply chain as companies work to restock inventory and prepare for future growth.”
The top-level results of ECIA’s recently completed survey are shown in the figure below. As a brief explanation, the data presented in this sales index indicate growth when the results are above 100 and declining sales when it registers below 100.