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DMASS fights its way out of industry slowdown

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DMASS (Distributors’ and Manufacturers’ Association of Semiconductor Specialists), reported a decline of consolidated sales of 14.7% to 1.46 Billion Euro. Sequentially, the gap to 2011 further narrowed.Georg Steinberger, chairman of DMASS, commented on the results: “The first half of 2012 remains weak, relatively speaking, as records of the past do not count in a competitive environment. We are still facing a very quiet market today, with uncertainties around the overall economical situation in Europe. Although the second half will be inevitably better in relative terms, 2012 won’t be a growth year either, that much is clear. 2012 will end with a small minus, provided no macro-economical problems occur.”From a regional view, the disappointment is with Western Europe and the growth fantasies are with Eastern Europe. Romania, Israel and Russia grew double-digit, the rest of Eastern Europe remained slightly positive. In Western Europe, France (-9.8%), UK (-10.3%), Benelux (-11.4%) and Iberia (-13.8%) reported a decline that was under-proportional, while Nordic (-18%), Germany (-21.9%) and Italy (-24.3%) dropped considerable more than average. Top Five countries in sales were Germany (472 Million Euro), Italy (139 Million Euro), UK (124 Million Euro), France (110 Million Euro) and Russia (65 Million Euro).Georg Steinberger: “Has production transfer finally reached Germany and Italy with the same force as it did a few years ago UK and France? It remains to be seen. Italy is a special case with its higher focus on low cost manufacturing, white goods and low cost equipment. Germany however might just have seen a certain weakness after two overheated years.”With the exception of a few product classes, every single category and sub-category of products was negative. Least affected of all major product categories were Programmable Logic (-2.7%) and Other Logic (-8.1%). Everything else came in at either average (Analog), slightly below average (Power) or significantly above (MOS Micro). Georg Steinberger: “The weakness in MCUs certainly smells of problems in the automotive arena. The rest of the product tendencies are similar to the results in Q1.”


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