Dear IPC Members:

This week, we kicked off IPC’s first IMPACT Washington Advocacy Week of 2022. This is your opportunity to have an impact on Washington and help make this industry’s voice heard. Scroll to the first news item below for details on how you can send a message to your elected officials with just a few clicks.

All the best,

Chris Mitchell
Vice President, Global Government Relations

The Headlines at a Glance: 

TOP NEWS OF THE WEEK 

• IPC’s IMPACT Washington Advocacy Week Begins

QUOTE OF THE WEEK

• IPC’s Matt Kelly Says Entire Electronics Ecosystem Needs Support

ENVIRONMENT AND HEALTH

• PIP (3:1) Compliance Deadline Extended to October 2024
• EPA Reopens Comments on 20 Toxic Substances
• IPC Shares Input on Proposed Changes to RoHS Directive

EUROPEAN UNION

• EU Parliament Publishes Draft Report on Industrial Strategy
• EU Parliament Committee Exempts SMEs from CSRD
• Intel Announces Major Investment in Europe
• Commission Launches Stakeholder Survey on Chips Usage

TRADE AND SUPLY CHAIN

• Congress Approves $7.5M for Lead-Free R&D
• High Material and Labor Cost Challenges Remain
• Sanctions on Russia Include Electronics-Related Export Controls

HELP US SPREAD THE WORD ON SOCIAL MEDIA

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TOP NEWS OF THE WEEK

IPC’s IMPACT Washington Advocacy Week Begins: IPC’s first “IMPACT Washington Advocacy Week” of 2022 kicked this week with our North American Executive Forum, which featured Sree Ramaswamy, Senior Advisor in the Office of Policy and Strategic Planning at U.S. Department of Commerce, who spoke on the Biden’s administration’s work to strengthen strategic supply chains and spur advanced manufacturing research and development (R&D). Remember, if your company operates in Florida, Illinois, Indiana, Massachusetts, Michigan, Ohio Texas, Utah, Vermont, or Washington State, we invite you to join in meetings with key members of Congress from those states. And no matter where you live, visit the IPC Online Advocacy Center to help secure federal support for the entire electronics supply chain. IPC Contact: Ken Schramko.

QUOTE OF THE WEEK

“We have never had IC substrate production in North America. This isn’t a bring-it-back story. It’s we-need-to-get-it story."
– Matt Kelly, IPC chief technologist, talked to EE Times about the urgent need for North America to develop domestic capabilities for integrated circuit (IC) substrates, testing, and packaging, and to ease off the heavy reliance on non-domestic sources.

ENVIRONMENT & HEALTH

PIP (3:1) Compliance Deadline Extended to October 2024: The U.S. Environmental Protection Agency announced recently that it has extended the compliance deadline for phenol, isopropylated phosphate (3:1) – PIP (3:1) – and PIP (3:1)-containing articles. The new compliance deadline will be October 31, 2024 – more than three years beyond the original deadline. PIP (3:1) is a chemical substance used as a flame retardant and plasticizer in electronics. Please let us know if you have any questions. IPC Contact: Kelly Scanlon.

EPA Reopens Comments on 20 Toxic Substances: The U.S. Environmental Protection Agency has reopened the dockets for the 20 high-priority substances to undergo risk evaluation under the Toxic Substances Control Act (TSCA). This provides an additional opportunity for the public to submit information that would help inform the risk evaluation processes for these chemicals. The dockets are open until June 9. Please let us know if you are interested in this opportunity to inform future policy decisions. IPC Contact: Kelly Scanlon.
 
IPC Shares Input on Proposed Changes to RoHS Directive: On March 14, IPC submitted comments to the European Commission’s call for evidence for an impact assessment on the Restriction of Hazardous Substances (RoHS) Directive and how it affects electronics. IPC also supported the response from the RoHS Industry Umbrella Project. In other RoHS-related news, the commission also opened a public consultation through June 2 on a general review of the directive. IPC will coordinate a response to this questionnaire, and we welcome your engagement with us. IPC Contact: Kelly Scanlon.

EUROPEAN UNION

EU Parliament Publishes Draft Report on Industrial Strategy: A European Parliament committee recently published its draft report on the European Commission’s updated Industrial Strategy, which was released in May 2021. The report notably urged the commission and EU Member States to reduce strategic dependencies on “critical materials;” welcomed the European Chips Act; and called for increased investments in research and development (R&D). IPC continues to advocate for the strategic importance of the entire electronics manufacturing ecosystem to the European economy, its digital and green transitions, and its future resiliency. IPC Contact: Alison James.
 
EU Parliament Committee Exempts SMEs from CSRD: On March 15, a European Parliament committee voted to exempt small and medium-sized enterprises (SMEs) from the Corporate Sustainability Reporting Directive (CSRD), which seeks to strengthen the reporting requirements for sustainability information of certain large companies. However, subsidiaries to large companies will have to comply to the reporting rules. A final agreement on the directive is expected by mid-2022. IPC will continue to track and advocate for a reporting system that is workable for electronics manufacturers. IPC Contact: Alison James.
 
Intel Announces Major Investment in Europe: Intel announced Tuesday the first phase of its plans to invest €80 billion in Europe over the next decade along the semiconductor value chain, including €33 billion into boosting chipmaking across the bloc. Under its initial investment, Intel notably plans to build a new semiconductor fab factory in Germany and a new research and development (R&D) and design hub in France. Let us know if you have any thoughts or questions. IPC Contact: Alison James.

Commission Launches Stakeholder Survey on Chips Usage: The European Commission recently launched a stakeholder survey to capture chip demand and identify potential supply bottlenecks in the bloc. The survey was released in conjunction with the recently announced European Chips Act, which is aimed at improving the bloc’s semiconductor and microchip production. The survey is open until this Sunday, March 20. IPC Contact: Alison James.

TRADE AND SUPPLY CHAIN

Congress Approves $7.5M for Lead-Free R&D: The U.S. Congress passed a $1.5 trillion FY22 spending package last week to fund the government through September. The spending bill, which also included emergency aid for Ukraine, allotted $7.5 million for further research and development (R&D) to support the transition to lead-free electronics in defense and high-performance applications. With lead-based electronics becoming more difficult and expensive for the Department of Defense (DoD) to procure, it is imperative that we complete a lead-free transition. IPC calls on all parties to keep working to complete the R&D project over the next three years. IPC Contact: Chris Mitchell.

High Material and Labor Cost Challenges Remain: According to the latest data from IPC, high material and labor costs persist and are expected to continue for the foreseeable future, while recruiting and retaining skilled talent continues to be a challenge. IPC’s March economic update and Global Sentiment Survey reports found that more than nine in 10 manufacturers have experienced an increase in lead times for parts and components since the start of the pandemic. The overall global economic picture is also complicated by the emerging Russia-Ukraine conflict. Let us know if you have any questions. IPC Contact: Shawn DuBravac.

Sanctions on Russia Include Electronics-Related Export Controls: Several countries, including the United States, United Kingdom, and the European Union, have imposed severe and immediate sanctions against Russia in response to the invasion of Ukraine. Chief among them are export controls that will curtail Russia’s access to foreign technological exports, including semiconductors and equipment and components used in electronics. How does this affect your company, and how can you ensure compliance to those sanctions affecting the electronics manufacturing industry? Read more in an IPC blog. IPC Contact: Ken Schramko.

UPCOMING EVENTS

Raising Awareness about PFAS Policies Affecting the Electronics Industry: Virtual, April 21. To provide information on the complex nature of the emerging chemical and product regulations and the complex nature of the uses of PFAS in electronics, IPC is hosting a free 30-minute webinar. IPC Contact: Kelly Scanlon.

HELP US SPREAD THE WORD ON SOCIAL MEDIA

“Any disruption to an already stressed supply chain can have an outsized impact.” Shawn DuBravac, IPC chief economist, comments on new data from IPC’s economic update and global electronics manufacturing supply chain sentiment report, indicating rising material and labor costs and the Ukraine crisis are challenging electronics manufacturers worldwide.		“No one is going to fight for our industry’s future if we don’t fight for it ourselves.” In the latest issue of I-Connect007's SMT007 magazine, Chris Mitchell, IPC vice president of global government relations, outlined some of the critical U.S. legislative decisions directly affecting the future of the electronics manufacturing industry and how you can get involved.

KEEP IN TOUCH WITH US

Meet the IPC GR Team: Whether it’s engaging with policymakers in Washington, D.C., in the European Union or in China, the IPC Government Relations (GR) Team proactively seeks opportunities to educate, inform and influence policymakers on policies that spur innovation, growth and competition, while protecting human health and the environment. But our success depends on your support and engagement. Learn more and get involved in IPC advocacy today! IPC Contact: Chris Mitchell.

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