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Slight output growth forecast for Japan's electronic components

Posted: 04 Jan 2006 ?? ?Print Version ?Bookmark and Share

Keywords:component? growth? forecast?

Following an 11 percent plunge in production value, Japan's components production in 2006 will likely increase minimally or remain at current levels.

According to a forecast by the Japan Electronics and Information Technology Industries Association (JEITA), Japan's production of electronic components increased by 3.3 percent in 2005. However, a slow economy and delayed inventory adjustments, particularly in the IT sector, pulled down Japan's production value for electronic components by 11 percent over the year to $6.57 billion in July 2005.

JEITA statistics released in July 2005 shows that Japan's exports slipped slightly over the year by 2.3 percent to $7.23 billion. However, exports are forecast to remain steady as new telecom applications spur market growth.

The top five electronic component makers in Japan are TDK Corp., Alps Electric Co. Ltd, Murata Mfg Co. Ltd, Kyocera Corp. and Rohm Co. Ltd, all of which export one-half to three-fourths of their output. The bulk of shipments are sent to Asian countries since most consumer electronic products are manufactured in the region. The next largest markets are North America and Europe.

Electronic Components




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