QUEBEC, CANADA - The market research report Electronics.ca Publications has reported that electronics manufacturing in the US, Japan and Western Europe now accounts for less than 50% of global electronics output, as volume manufacturing continues to move to countries with lower-cost manufacturing.

The report states that although the Asia-Pacific region, and China in particular, have been the main beneficiaries, Central and Eastern Europe, Mexico and Brazil have also benefited from the shift. In the long-term, these countries are expected to offer more market opportunities as well, creating more need for greater investment in local manufacturing.

Between 1995 and 2006, the Asia Pacific area's share of global electronics production has reportedly increased from 20% to 42%, with China seeing largest share of that increase, from 3% to 20.5%.

Findings from the report state that although the US represents the world's largest electronics market with a 26% share in 2006, it was surpassed by China that year as the world's largest producer.

The report goes on to state that Japan is also being impacted by this manufacturing trend. By the end of 2006, electronics production there had fallen by 23.5% from its peak in 2000. Production rebounded by 4% in 2006, and by a small 0.6% in 2007.

The market research firm claimed that production by the Indian electronics industry also increased by 22% in 2006, and that although it is expected to slow somewhat in both 2007 and 2008, it will still show double-digit growth.

The report also states that between 2000 and 2006, electronics output from Western Europe has fallen by near 30%.

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