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WASHINGTON, DC – China is gearing up for a January implementation of its version of the Restriction of Hazardous Substances directive, according to a posting last month by a federal agency employee on the leadfree.org listserv. At an August workshop at the Department of Commerce, Chinese officials announced that China’s version of RoHS will go into effect January 2006, said Dr. John Sieber. 
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BRUSSELS – Comments are being sought from companies whose designs would either be rendered impracticable with RoHS-free substances or where the negative environmental and consumer safety impacts caused by switching would outweigh the benefits.

While the ROHS Directive 2002/95/EC bans lead, mercury, cadmium, hexavalent chromium, PBB and PBDE, the annex to the Directive lists a limited number of applications which are exempted. However, under pressure from industry, the European Commission is accepting input on requests for possible additional exemptions.



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ALAMEDA, CA -- Meeting RoHS requirements requires a one-time investment of 2% to 3% of cost of goods sold, a top research firm said today. The firm released its findings to counter what it called "false information and speculation" about the cost of compliance.

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Tempe, AZ – The manufacturing sector grew for the 27th straight month in August, although high energy prices raise concerns for future growth. New orders and production slipped from July but remained strong, according to the latest Institute for Supply Management (ism.ws) poll.

ISM chairman Norbert Ore said, “[T]he PMI still indicates significant economic growth in both manufacturing and the overall economy. Comments from supply managers indicate great concern over recent new highs in the energy commodities. Many express concerns as to whether current business strength can be sustained if high energy prices persist.”

For the month the PMI measure of economic activity fell 3.0 points sequentially, to 53.6%. New orders dropped 4.2 points to 56.4%, while production fell 4.4 points to 55.9%.

Backlogs grew slightly, up 1.5 points to 50.5. Manufacturers shaved internal inventories, but customer stock levels grew 2.0 points. Employment fell but remained above the benchmark for growth.

Electronic components and equipment was the third strongest category during the month. Industrial and commercial equipment and computers also reported growth.

 

  April 
May June
July
Aug.
PMI 53.3
51.4
53.8
56.6
53.6
New orders 53.7
51.7
57.2
60.6
56.4
Production
56.7
54.9
55.6
61.2
55.9
 Inventories47.9
47.8
47.8
47.5
45.7
 Customer inventories 41.547.5
44.0
44.5
 46.5
Backlogs 53.0
51.0
51.0
49.0
50.5

Source: Institute for Supply Management, August 2005

SAN JOSE – Worldwide sales of semiconductors rose to $18 billion in July, up 0.3% over June but down 0.03% from July 2004, the Semiconductor Industry Association reported today. Prices fell despite slight unit growth.
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LOS ALTOS – Have semiconductor inventories gotten out of whack? That’s the assessment one researcher is concluding, saying that the disparity between strong sales of end-use items and the drop in IC shipments suggests a “major inventory adjustment.”

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TAIPEI -- Foxconn Electronics shrugged off falling margins to record revenues of NT$142.7 billion, up 49%, during the first six months of 2005, the company reported. Pretax profits were up 18% to NT$10.2 million.


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JACKSON, MI -- Sparton Corp. reported earnings for its fourth quarter ended June 30 rose 227% to $4.9 million, boosted by a one-time, pre-tax gain of $5.45 million from a settlement with it former insurers.

Net sales were $45.9 million, down 4% from $47.8 million last year. In Q4 2004 the company posted earnings of $1.5 million.


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PHOENIX -- Suntron Corp. today said it is applying to transfer the listing of its common stock to the Nasdaq SmallCap Market.

On Aug. 23, Nasdaq notified the supplier of electronics manufacturing services of a possible delisting as the market value of publicly held shares failed to comply with minimum requirements.

Suntron will seek to transfer its listing to the SmallCap index and will remain listed on the National Market while its application is being reviewed.



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 Eindhoven, The NetherlandsRoyal Philips Electronics (semiconductors.philips.com) announced a worldwide franchise agreement allowing Digi-Key Corp. to distribute Philips’ semiconductors. Philips will continue to work with its established global partners.

Digi-Key specializes in assisting the engineering community with component sourcing and getting to market quickly. Its order fulfillment process enables 99% of all orders placed to be shipped the same day they are ordered. 
 
“Digi-Key provides customers with extremely fast turn-around capabilities that can give them the edge in the market,” said Bill Galione, VP of sales and marketing, Americas, Philips Semiconductors. “Digi-Key also excels at delivering extremely small orders that other organizations might have difficulty with, and this makes it easier for the engineering community to obtain prototype quantities that could help to speed the development cycle of new products.”
DES PLAINES, IL — Kester will host a lead-free seminar, “Project 2005: Achieving Lead-free RoHS Assembly” on Sept. 13 at the Radisson Hotel Dallas in North Richardson, TX.
 
The seminar is designed to assist the electronic industry in the transition to lead-free soldering and RoHS compliancy.
 
Topics will include: lead-free and RoHS directive overview; supply changes and procurement issues; board/component requirements; lead-free alloy selection for SMT, wave and rework; lead-free wave, and SMT process optimization; impact of dual systems; BGA rework practices; hand soldering process changes; lead-free RoHS reliability; field rework and training; and training and documentation.
 
Attendees will receive a lead-free assembly technical manual and CD containing presentation materials; technical white papers; and the Lead-Free Connection.
 
For more information on the technical content of seminar, contact Peter Biocca:  pbiocca@kester.com.
For registration details, contact Theresa Rudnick: (847) 699-5580 or visit kester.com.
SAN JOSE, CA -- Venture Outsource Group is presenting a live Webcast on electronics outsourcing contracts. The event, Electronics Outsourcing Contracts – Development & Negotiations, will take place Oct. 4 at 8:00 a.m. PDT. 

The Webcast will be led by VOG president Mark Zetter. Registration and program information can be found at ventureoutsource.com/docs/webinar/contracts.html.

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