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Electronics Value Chain Outlook Hit by Dampened User Demand, Sourcing Activity

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Bloated inventories have led to plummeting memory device lead times and pricing, and the equalization of lead times and pricing for some passive components. For the first time in several quarters, the electronic components value chain is getting some pricing and lead time relief, as the new Supplyframe Commodity IQ insights reveal. Bloated inventories have led to plummeting memory device lead times and pricing, and the equalization of lead times and pricing for some passive components. This shift has occurred amid slowing demand in many end markets as central banks continue to raise interest rates to curb inflation and economies worldwide teeter on the edge of recession. But Commodity IQ data indicates that automotive and other
sectors that rely on mature process nodes will be plagued by elevated prices and lead times through most of 2023, cited a press release recently released by Supplyframe.

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