Global electronic components design and sourcing activities declined sharply in August, with sourcing activity falling well below seasonal expectations. Despite the monthly declines, year-over-year sourcing activity remained positive, suggesting the slowdown may be a near-term correction rather than a broad market contraction.
August Design Activities:
- Global design activities decreased −12% month-over-month and remained below the seasonal average decline of −7% typically observed during this period.
- Design activity declined across all regions, led by EMEA (−17% MoM) and APAC (−12% MoM). The Americas were comparatively resilient, with design activity decreasing just −3% MoM.
August Sourcing Activities:
- Global sourcing activities decreased −23% month-over-month, significantly underperforming the seasonal average decline of −4%.
- The largest regional declines were observed in EMEA (−28% MoM) and APAC (−24% MoM), while the Americas declined −17% MoM.
- Despite the sharp monthly decline, global sourcing activity remained +4% year-over-year, supported by strong year-over-year performance in EMEA and APAC. Cumulatively, January through August sourcing activity was +8% higher than the same period in 2025.
Outlook:
- August’s declines in design and sourcing activity appear to reflect a near-term correction rather than a broad market contraction. While activity fell across all regions, year-over-year sourcing growth and continued demand in key technology areas suggest underlying market activity remains resilient.
Key Verticals:
- Design and sourcing activity continued to be concentrated in AI-related infrastructure, advanced computing, power electronics, and production-oriented component categories.