July 2023: Global Design and Sourcing Insights

Close up of circuit board
July Highlights:

In July, the Design-to-Source Intelligence (DSI) network experienced a reduction in both global design and sourcing activities compared to the previous month, aligning with typical seasonal patterns. No significant change in trends were noted between July and June.

Global design activities observed a 2% decline on a month-over-month basis, yet maintained indications of expansion when contrasted with the same period last year, displaying a 10% year-over-year increase. Prominent growth was identified in various leading countries, including the United States, India, Japan, the United Kingdom, and Italy.

Global sourcing activities underwent a 6% decline in activity on a monthly basis and a 28% decrease year-over-year. These declines were evident in all geographical regions, with the most significant drops noted in the Americas and EMEA regions.

July design and sourcing trends
Year-to-Date Progress (January – July 2023):

In the span of January to August 2023, there was a 1% rise in global design activities, while global sourcing activities exhibited a 26% reduction compared to the first eight months of 2022.

Q3 2023 Outlook:

Looking ahead to the remaining portion of Q3, there is an anticipated 6% decrease in global design activities on a quarter-over-quarter basis, coupled with a projected 7% growth when compared with Q3 2022. Global sourcing activities are expected to undergo a 5% decline on a quarter-over-quarter basis during Q3, accompanied by a 25% decrease in comparison to Q3 2022.