LOS ALTOS, CA – Worldwide electronics equipment production will grow 13.3% this year, rebounding nicely following last year’s 9.9% drop.
But as government efforts to prime the economic pump wane, global gross domestic product (GDP) has begun to decelerate and with that will come a drop in equipment sales, according to new research from Henderson Ventures.
Robust demand for PCs, mobile telephones and automotive electronics have boosted this year’s sales. But slower growth in 201 – world economic activity is now forecast to fall slightly, from 3.4 % this year to 3.3% in 2011 – along with “internal industry dynamics” will contribute to next year’s slowdown.
Henderson forecasts output to expand 6.6% in 2011, then tick up to 7.3% in 2012 as commercial and industrial equipment gains are partially offset by slumping military electronics demand.
US electronics equipment production will grow 7.9% this year, followed by 3% in 2011 and 4.2% in 2012, Henderson forecasts. Western Europe will grow 3.8, 2.7 and 4.2% in the forecast period, and China will jump 24.7% this year, followed by 10.7% next year and 9% in 2012.