Asia CEM Market is Now world's Largest

With an abundance of low-cost labor and a vast technical workforce, Asia is now the world’s largest In-Stat Contract Electronic Manufacturing (CEM) market, reports . The Asian CEM market was US$73.35 billion in 2004, and is expected to reach US$161.90 billion by 2009. With China and Taiwan already strong in this field, other Asian countries such as India, Thailand, and Vietnam are emerging as strong contenders for low-cost manufacturing of electronic equipment. The total CEM capacity in Asia will grow to 65% of the world’s CEM capacity by 2009, with China leading the way.

• Many top and mid-tier contract manufacturers are forging closer ties with Asian suppliers and investing in enhanced software programs to improve materials management.

• Asian CEM and assembly capacity was almost 52% of the global CEM capacity in terms of square footage in 2005.

• With rich technical talent available locally, electronics manufacturers in Asia have the potential to move into design services, thereby improving their margins considerably.

Asia CEM and Assembly Capacity by Country Publ 20060215