Market demand and application areas of electronic components

The application fields of electronic components are very extensive, almost involving various industrial sectors of the national economy and various aspects of social life. This includes traditional industries such as electricity, machinery, mining and metallurgy, transportation, chemicals, and textiles, as well as strategic emerging industries such as aerospace, lasers, communications, high-speed rail transit, robotics, electric vehicles, and new energy. Especially with the rapid development of AI technology, the application of generative AI in fields such as chip design and digital twin construction will profoundly transform industries such as design, construction, scientific research, healthcare, and manufacturing.

Industry challenges and future trends

Despite the broad prospects of the electronic components industry, it also faces some challenges. The increasing supply chain risks in the global electronic information manufacturing industry, fierce competition for authorization qualifications, and high upstream research and development costs have forced top electronic component distributors to further integrate the industry and expand their market share. In addition, with the decline of the demographic dividend and the intensification of international trade frictions, Southeast Asian countries have gradually become a new choice for the global electronic information manufacturing industry, which puts higher demands on local electronic component distributors for global operational capabilities.

Electronic components are located upstream of the electronic information industry chain and serve as the foundation for the development of communication, computer and network, digital audio and video systems, and terminal products. They play a crucial role in the development of the electronic information industry. In recent years, China's electronics industry has continued to grow rapidly, driving the strong development of the electronic components industry. The production of electronic components in many categories in our country has firmly ranked first in the world, and the electronic component industry occupies a very important position in the international market. With the release of a large number of major industrial policies in key areas such as the Internet of Things, cloud computing, and e-commerce, as well as the continuous development of industries such as smart homes, automotive electronics, and wearable devices, a new round of overall development of China's electronic information industry has been opened up. At the same time, it also indicates that as the basic industry of the electronic information industry, the transformation and upgrading of the electronic components industry will accelerate.