BRUSSELS, Belgium -- Although European semiconductor sales have been growing in 2003 when measured in dollars (see August 5 story) when measured in euros, sales have been falling month-by-month and year-on-year throughout 2003, according to the European Semiconductor Industry Association (ESIA).
Indeed, in terms of their euro values the European region's monthly chip sales have been in a general decline since November 2000 when the European regional monthly market was nearly 4.5 billion euros, ESIA numbers show. The market now stands at less than half that value.
European semiconductor sales in June 2003 measured $2.410 billion according to World Semiconductor Trade Statistics (WSTS), the ESIA reported on Monday (August 4, 2003). WSTS compiles the monthly data as a three-month moving average.
This dollar value corresponds to a 12.3 percent increase compared to the same month last year, although the number was down 1.6 percent compared with May, ESIA said. Aggregate European semiconductor sales in the first half of 2003, measured in dollars, were 11.8 percent ahead of the same period in 2002, ESIA added.
However, when measured in euros European semiconductor sales in June were 2.117 billion euro, a decline of 8.7 percent from June 2002 and a decline of 4.8 percent from May 2003. In the first half of 2003 semiconductor sales in Europe, measured in euros, decreased by 8.9 percent compared to the first half of 2002, ESIA's statistics showed.
The dollar market growth was turned into euro falls by the strengthening of euro-dollar exchange rate over the preceding year. According to ESIA the euro had strengthened against dollar over the preceding year by 25.9 percent in May and by 21.6 percent in June.
Euros are the currency in which Infineon Technologies AG, Royal Philips Electronics both report their financial results, although STMicroelectronics reports in US dollars, as was pointed out to Silicon Strategies by a reader.