TrendForce reports that the global smartphone production volume for 4Q18 totaled 383 million units, staying at a constant level from the previous quarter. In response to the slacking consumer demand, branded smartphone makers scaled back their production in 4Q18 and paid more attention to inventory management. Looking ahead to 1Q19, they have set modest production targets due to the lower-than-expected sales in the previous quarter. Even though prices of components have been falling, smartphone makers will remain passive in their stock-up efforts since they are under inventory pressure. TrendForce forecasts that the global smartphone production volume for 1Q19 will come to 307 million units, showing a YoY drop of 10%.
According to the latest research by EnergyTrend, a division of TrendForce, the market of new energy vehicle will continue to grow steadily, driving the demand for xEV batteries, despite the slowdown in global automotive market since 2018. The global demand for lithium-ion batteries used in new energy passenger cars is estimated to reach 155GWh in 2019, a growth of 63% from 95GWh in 2018.
According to the latest report by TrendForce - Breakdown Analysis of China’s Semiconductor Industry, the outlook for China’s semiconductor industry has been tampered since the second half of 2018 due to pessimistic economy worldwide and uncertainties brought by the China-U.S. trade war, although the industry managed to reach a total revenue of over 600 billion RMB in 2018. Looking ahead to 2019, the revenue of China's semiconductor industry is expected to reach RMB 729.8 billion, but the annual growth rate would slow down to 16.20%, the lowest in the past five years.
Mainstream high- and mid-power LED package products in the Chinese market witnessed price declines in December, according to the latest report from LEDinside, a division of TrendForce.
Contract prices of server DRAM are expected to fall by more than 20% QoQ in 1Q19, steeper than the previous forecast of 15%, reports DRAMeXchange, a division of TrendForce. The demand outlook remains weak due to high inventory levels and seasonal headwinds. Moreover, uncertainties brought by the China-U.S. trade war would also lead to conservative demand.