Report: Supply chain obstacles hurt electronics production

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    BANNOCKBURN, Ill.

    - Supply chain challenges remain acute and have improved little from the previous month, according to IPC's Economic Outlook report for January 2022. Shortages continue to hamper production levels, and lead times remain long.

    Supply chain challenges will linger well into 2022, and in some instances, into 2023.

    Among other data, the report from the global industry association shows:

    • Economic growth will be severely muted at the start of the year as the Omicron variant slows economic activity. Gross domestic product growth in the United

    States could drop to as low as 2.5% in the first quarter of the year.

    • Consumer sentiment improved marginally in December, but the gains might be short-lived thanks to rising cases of COVID-19.

    Consumer sentiment reached lows in November 2021 that have not been seen since 2011.

    • The re-emergence of COVID stymied Europe's recovery early in the year, but Europe is quick- ly getting growth back on track. Growth in the third quarter was 3. % higher than a year ago.