Get Engaged with Sustainable Electronics

Feb 09, 2021
| By Kelly Scanlon

The electronics industry comprises experts in design and manufacturing of some really amazing products and we want to make sure that these experts know that there are many rewarding opportunities to elevate their knowledge and drive to build electronics better.

IPC and iNEMI are calling on these experts to participate in the development of a roadmap for sustainable electronics, provide insights in a technology integration group, and advance research projects that address recognized technology gaps.  You can collaborate with peers to identify gaps and then resolve them through research projects on topics such as materials efficiency, design criteria, extended reliability, and value recovery.

Join Kelly Scanlon, IPC’s director for environmental policy and research, as she talks with Mark Schaffer, iNEMI’s project manager sustainable electronics.  After you watch this short presentation, you will know about the rich opportunities for you as a future participant in sustainable electronics activities at iNEMI.

IPC Releases IPC-2551, International Standard for Digital Twins

IPC announces the release of IPC-2551, International Standard for Digital Twins. This first international standard is comprised of digital twin product, manufacturing, and lifecycle frameworks. Using this standard, any manufacturer, design organization or solution provider can initiate application interoperability to create smart value chains.                                                   

Of significant use to any company, IPC-2551 provides a comprehensive self-assessment mechanism for companies to determine their current digital twin readiness level and roadmap the steps they will need to take to achieve a full digital twin approach. This comprehensive approach provides real value to companies that are in the planning stages for applying a digital twin framework to their operations.                  

The standard enables interoperability of all forms of processing of digital data that precisely match and represents the physical capabilities. The standard does this by defining and precisely laying out a digital twin cell-based architecture. This enables any manufacturer to create and utilize the IPC digital twin standard to represent every process and possible actions taken on a product within the manufacturing and lifecycle environment, for engineering, modeling, planning, quality and reliability analysis, simulations, and much more, allowing critical decisions for product, process, and material design to be optimized. 

“Benefits of establishing a digital twin framework and the tools that work within the framework will ensure that the physical expectations will be met without the need for a physical prototype,” stated Matt Kelly, IPC chief technologist. “IPC-2551 will help with optimization of processes reducing losses associated with manufacturing and logistics, increasing productivity, efficiency and cost performance,” Kelly added.                          

For more information or to purchase IPC-2551, visit the IPC Online Store.

IPC Supports U.S. House Passage of National Apprenticeship Act

IPC welcomes the U.S. House vote today on H.R. 447, the National Apprenticeship Act of 2021. This bill would invest nearly $3.5 billion over five years to scale-up apprenticeship opportunities, streamline access to apprenticeships for workers and employers, and expand apprenticeships into new, in-demand industry sectors and occupations. 

One of the most difficult challenges facing the U.S. electronics manufacturing industry is a chronic shortage of adequately skilled workers. More than two-thirds of IPC’s U.S. members report that an inability to find and retain skilled workers is limiting their growth and competitiveness. The pressure is on our industry to tap the institutional and technical knowledge of an aging workforce to train the next generation of workers, even as younger workers also learn the skills required for the factories of the future. IPC believes that the private sector is best suited to identify the occupational skills that workers need to succeed, which is why IPC works with industry to develop and provide industry training and credentialing programs.

IPC agrees with workforce experts that well-crafted apprenticeship programs offer individuals, especially those not planning to pursue higher education, an effective means of gaining the skills and mentoring necessary to thrive in certain fields, including electronics. However, the United States has failed to cultivate an environment in which apprenticeship programs flourish, except in a few industries. The current structure of the existing apprenticeship program in the United States is onerous for employers, which is a key reason why apprenticeships are not as popular in the U.S. as they are in Europe. H.R. 447 would streamline some reporting requirements, improve the registration system, and allow various program costs, including new machinery and equipment, to be included as allowable costs for all grant dollars. For these reasons, IPC supports H.R. 447, and we welcome the opportunity to work with policy makers to improve and expand industry-led education and training programs.

 

Electronics Manufacturing Poised for Jobs to Rise Over Pre-Pandemic Levels; Industry Backs Short-Term Stimulus and Long-Term Investment

The following is a statement by John Mitchell, IPC President and CEO, on this week’s U.S. employment numbers and the Biden Administration’s American Rescue Plan.                              

“All signs indicate 2021 should be a year of recovery. The jobs report indicates that as the vaccine gains momentum and the economy normalizes, the U.S. will add jobs at a healthy clip. The electronics industry is a bright spot in the data, poised to increase jobs over pre-pandemic levels, outpacing the rest of the economy and driving overall growth. IPC urges Congress to come together on both short-term stimulus and long-term, strategic investment plans to ensure a lasting, broad-based recovery.” 

WHO is building WHAT in the USA?

Feb 03, 2021
| By Dennis Fritz

Captive OEM companies are building grass-roots printed circuit shops in the U.S.? Nah!! That hasn’t been done in more than 30 years! I never thought I would hear about captive OEM companies building their own bare circuit boards, let alone start from scratch. Yeah, we had heard that Alex Stepinski had taken his experience from the Whelan Engineering start-up and moved on to building GreenSource in New Hampshire. But wasn’t that just taking simple automotive lighting control boards back into house for manufacture? And, isn’t GreenSource the ultimate circuit board engineering place with limited production capability?  How much impact could these new shops have compared to the mega-campus facilities Hayao Nakahara tells us about in China?  

Personally, I can’t wait for the ‘vertical integration” section of the IPC Managers’ Forum on March 8 to get the experiences of Alex with Green Source, Diane and Jessi with Schweitzer Engineering Labs, and Jeff with Vicor on their vertical integration with new facilities. I want to hear what Joe O’Neil of Green Circuits (you know Joe from IPC BoD and past IPC Board chair) has to say about these upstarts who are literally breaking new ground in board fabrication. Why, Joe has been making circuit boards since he crawled out of diapers!  Surely, he could tell Schweitzer to build a board shop where there are already experienced people rather than in Moscow, Idaho.  

We’re hoping for “chat” questions from companies like Benchmark (known mostly as an EMS supplier) having recently built their own high frequency bare board fabrication shop in Arizona. 

I’m looking forward to getting some answers to my own questions:

  • While this isn’t exactly re-shoring, why are you investing in board manufacture in the USA, when imports are so cheap?
  • How do you expect to attract, train, and retain employees in your grass-roots start-ups?
  • What special equipment are you investing in for your new shops?  Won’t existing fabricators go out and get the same equipment and then compete with you?
  • How much of this new “future factory” automation are you bringing in?  Will this be one of those 20- year-old dreams – a “dark factory” with no people?
  • What part of your company’s circuit board needs will you be making – all, the most advanced, the easiest, etc.? How will you decide?
  • And, will you be making substrate-like board product that will be essentially a chip package?

There is a lot more to the Managers’ Forum than just the board discussion in the afternoon! Of course, there will be some discussion of the issues from the pandemic – the reason the Forum will be virtual and not a giant in-the-same room brawl that we love to have live at IPC APEX EXPO, but also trade, logistics, technology and more. The opening morning session focuses on Supply Chain issues (didn’t COVID make a mess of that in 2020!) and the lessons learned from all parts of the industry. There are even a couple mid-program presentations on selecting processes and equipment for your shop – by remote control during the pandemic. 

Yep, I am getting charged up for this management session – the lead-off to my first ever virtual, and probably most memorable, IPC APEX EXPO. I think I got to stand up last year for 20 years continuous attendance at the event, and who knew a year ago, I would get to dial in to my 21st on March 8.   

IPC APEX EXPO 2021 Offers More than 100 Future-focused Educational Opportunities

Changing technologies, advanced materials and new processes that are driving the electronics manufacturing industry will take center stage throughout the IPC APEX EXPO 2021 technical conference and professional development sessions, which will take place virtually March 8-12. Registration is now open at www.IPCAPEXEXPO.org.

This year’s technical conference will feature more than 70 technical sessions detailing original research and innovations from industry experts around the world. Subject-matter experts will cover hot topics in three tracks: factory of the future implementation; PCB fabrication and materials; and quality, reliability, assembly, test and inspection.

“As the importance of modernization, automation and data exchange in manufacturing grows, designers and engineers need to keep current. Which is why the industry needs the education that IPC APEX EXPO 2021 will offer,” said Matt Kelly, IPC chief technologist and APEX technical conference co-director. “Throughout the conference tracks, attendees will access new research on data analytics, connected factory, cybersecurity, and digital twin; learn more about microvia reliability, PCB design, reliability, and advancements; and advance their skills in automotive electronics, electronics materials, assembly, coating, and printed circuit board assembly design. Industry experts will teach the practical to help attendees succeed at their job,” Kelly added.

IPC APEX EXPO’s half-day professional development courses will blend traditional electronics industry topics with hot-new developments, delivered by corporate technologists, consultants, training center staff and university faculty. Whether it’s advanced courses exploring the details and depth of specific topics, or informative courses catering to engineers ready to improve their careers, attendees can find the right professional development course for their specific role and experience level. Courses will cover: assembly processes; circuit design and component technologies; PCB fabrication and materials; and quality, reliability, test and inspection.

All technical conference sessions and professional development courses will be available via on-demand access 90 days after the event. In addition to educational offerings, IPC APEX EXPO features many free activities, including three keynotes, a live Q&A with keynote speaker and IndustryWeek Editor-in-Chief Travis Hessman who will present on digital transformation. In addition, IPC APEX EXPO 2021 offers exhibitor connections, new product demonstrations, IPC Annual Meeting and awards, virtual escape room, trivia competitions and networking opportunities with IPC Hall of Famers and Emerging Engineer program participants.

More information about IPC APEX EXPO 2021, including details on educational opportunities networking, schedule, travel and more is available at www.IPCAPEXEXPO.org.

IPC’s January 2021 Economic Report: U.S. and EU Outlook

Jan 29, 2021
Economic Outlook banner

We are one month into the new year, and it is already abundantly clear that the next 12 months will remain challenging. But, if all goes according to plan, — something that rarely happens — 2021 will be a year of recovery. For the most part, financial markets have shrugged off what at times have felt like catastrophes in the near-term. Instead, they have focused on a more positive medium and long-run outlook. Here’s hoping that outlook materializes soon.

In this month’s report, you will find U.S. and European data on economic growth, employment, Manufacturer’s Sentiment (PMI) and end markets for electronics. You will also find details on industrial production, capacity utilization, PCB production data and North American PCB bookings.

Please let us know how you use this research along with what other details you would like to see from IPC.  We welcome your thoughts and feedback.

READ JANUARY REPORT

New Rules on PBTs Take Effect on February 5

Jan 29, 2021
| By Kelly Scanlon

The U.S. Environmental Protection Agency (EPA) has finalized five rules for persistent, bioaccumulative, and toxic (PBT) chemicals to reduce risks and exposures to the extent practicable. The final risk management rules go into effect on February 5, and some of the PBTs have a history of use in the electronics industry.

Decabromodiphenyl-ether (decaBDE) is a flame retardant in plastic enclosures for electronics products and in wire and cables for electronic equipment. The final rule prohibits the manufacture, import, and processing of decaBDE; prohibits its use in products and articles effective 60 days after publication of the final rule; and prohibits distribution in commerce of products and articles containing decaBDE one year after the effective date of the rule.

Phenol, isopropylated phosphate (3:1) (PIP (3:1)) is a plasticizer, flame retardant, anti-wear additive, or anti-compressibility additive in hydraulic fluid, lubricating oils, lubricants and greases, various industrial coatings, adhesives, sealants, and plastic articles. As a chemical that can perform several functions simultaneously, sometimes under extreme conditions, it has several distinctive applications.  The final rule prohibits processing and distribution in commerce of PIP (3:1) and products containing this chemical substance, with several exceptions.

If these new rules will affect the electronics products that you manufacture, please contact the IPC Government Relations team.  The team facilities industry responses and communications with policymakers and we can help you to share your knowledge and expertise with the EPA. 

U.S. EPA Evaluating Risk for More Than 30 Chemicals

Jan 28, 2021
| By Kelly Scanlon

The U.S. Environmental Protection Agency (EPA) is wading ever deeper into regulatory deliberations under the Toxic Substances Control Act (TSCA), and the next several steps will have major ramifications for electronics manufacturers, who need to focus on this issue now.

As previously reported by IPC, the EPA’s process for assessing and managing risks from existing chemicals has three basic steps: prioritization, risk evaluation, and risk management.

Currently, there are two cycles of this three-step process happening at the same time, for two different sets of existing chemicals. In the first cycle, EPA has completed 10 risk evaluations; in the second cycle, EPA is just beginning the risk evaluations for 20 high-priority chemical substances.

Just over the horizon, the EPA will begin to consider and then propose actual risk management strategies for the first 10 of these chemicals. By law, the EPA is required to take action to address such risks within two years after a risk evaluation is published, which means 2021 and 2022 will be full of related actions.

Which Chemicals Are We Talking About?

From June 2020 through mid-January 2021, the EPA published 10 final risk evaluations, and, in four cases, it identified unreasonable risks to health and/or the environment in connection with chemicals used in electronic manufacturing and products:

  • For methylene chloride (CAS 75-09-2), the EPA has determined that the use of this chemical as a solvent in industrial processes where electronics equipment, appliance, and component manufacturing takes place presents an unreasonable risk of injury to workers and occupational non-users.
  • For 1-bromopropane (CAS 106-94-5), the EPA has determined that the use of this chemical as a solvent for cleaning or vapor degreasing in the manufacturing of electrical equipment presents unreasonable risks of injury to workers and occupational non-users.
  • For cyclic aliphatic bromide cluster chemicals (CASRN 25637-99-4, 3194-55-6, and 3194-57-8), specifically hexabromocyclododecane (HBCD), the EPA has determined that the use of this chemical in solder paste or flux presents an unreasonable risk to the environment.
  • For n-Methylpyrrolidone (NMP) (CAS 872-50-4), the EPA has determined that the use of this chemical in paint and coating additives used in computer and electronic product manufacturing and semiconductor manufacturing and the use of this chemical as a solvent for cleaning and degreasing in semiconductor manufacturing and other electronics manufacturing presents unreasonable risk of injury to worker health.

To manage unreasonable risks, the EPA has several regulatory options at its disposal, including the ability to prohibit, limit, or otherwise restrict their manufacture, processing, or distribution for particular uses; to regulate the manner or method of their disposal; to regulate how risks are communicated to consumers and various supply chain actors; and/or to require monitoring, testing, and recordkeeping.

If you have information that is relevant to these proceedings, we need to hear from you. Specifically, if you have information on safe and essential uses; on safe and effective alternatives; or on uses that have been phased out or can be phased out; then now is the time to get ready to work with IPC and engage with the EPA. 

Throughout the TCSA regulatory process, your IPC Government Relations team will facilitate and coordinate a unified industry response. Ultimately, the EPA needs our knowledge and expertise to arrive at solutions that protect human health and the environment and enable our industry to thrive.

 

North American EMS Industry Sales up 8.5 Percent in December

IPC Releases EMS Industry Results for December 2020

IPC announced today the December 2020 findings from its North American Electronics Manufacturing Services (EMS) Statistical Program. The book-to-bill ratio stands at 1.10.

Total North American EMS shipments in December 2020 were up 13.5 percent compared to the same month last year. Compared to the preceding month, December shipments rose 8.5 percent.

EMS bookings in December rose 13.2 percent year-over-year but decreased 5.2 percent from the previous month.

December 2020 EMS book to bill graph

View graph in pdf

“The EMS market reported strong growth to close out 2020. Both orders and shipments showed double digit growth over December 2019,” said Shawn DuBravac, IPC’s chief economist. “For the year, bookings outpaced shipments, a trend that continued in the month of December. A small backorder in shipments should balance in the first quarter.”

Detailed Data Available

Companies that participate in IPC’s North American EMS Statistical Program have access to detailed findings on EMS sales growth by type of production and company size tier, order growth and backlogs by company size tier, vertical market growth, the EMS book-to-bill ratio, 3-month and 12-month sales outlooks, 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 EMS industry statistics are based on data provided by a representative sample of assembly equipment manufacturers selling in the USA and Canada. IPC publishes the EMS book-to-bill ratio by the end of each month.

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