How do European buyers of electronics and electrical engineering think?

The European Electronic Manufacturing Services (EMS) industry has all but stopped growing due to an over-capacity in most developed markets. The low volume/high mix sectors of Automotive, Medical, Control & Instrumentation, Industrial and Telecommunications (AMCIT) may show some growth in West Europe, but uncertainty in the Eurozone may curtail this segment, too. Voluminous production is slowly and gradually moving towards low-cost destinations, including DCs: these markets offer the most long-term potential. With the industry demanding products that are durable, lighter, cheaper and better than the ones they replace, buyers of European electronic component manufacturing companies – while maintaining design, development and sales teams in Europe – are increasingly looking to outsource production to companies in low-cost countries offering lower production costs. This trend represents a major opportunity for DC exporters, especially those who recognise that in today's age of competition, electronic and electrical products manufacturing companies are under constant pressure to develop new and innovative products in shorter time cycles, at reduced cost, and with improved quality.