According to FBDi e.V., sales in electronic component distribution fell by just under 8% in the second quarter of 2025, marking a 16.3% decline compared to the same quarter last year. Order intake also dropped by nearly 9% compared to Q1. The outlook remains uncertain.

“Europe's resilience is increasingly being put to the test. Geopolitical tensions and trade disruptions are applying enormous pressure on our economy and industry. While a clearer political stance could lead to further challenges in the short term, it would foster long-term planning, independence and greater solidarity within Europe,” said Andreas Falke, managing director of the German Association of Electronic Component Distributors.

Managing Director Andreas Falke states: “The economic situation in Europe during  the second quarter of 2025 is clearly reflected in the distribution landscape. Geopolitical tensions and economic uncertainties are placing considerable strain on internationally operating companies . The globally connected supply chain for electronic components is becoming increasingly fragmented. While regions such as Asia and the USA are experiencing a surge in demand for artificial intelligence, Europe continues to face industrial stagnation, particularly in the automotive sector and its supply cahins.”

 

In this environment, design innovations and technology-driven solutions are proving more important than traditional purchasing strategies. Measures such as nearshoring, diversified supplier structures, and digital transparency are now considered key to resilience more than  ever before. Despite ongoing volatility, megatrends such as quantum computing, the Internet of Things (IoT) and artificial intelligence (AI) present substantial opportunities for innovation and growth. To safeguard  its competitiveness and strengthen its independence, Europe must take a more active role in shaping these developments.