Navigating Tariffs, Talent, and Technology: Parting Insights from IPC APEX 2025

The curtain has fallen on IPC APEX 2025 after an intensive three days that yielded over 50 interviews with industry leaders. As attendees and exhibitors drifted out into the California sunshine, they left behind conversations that revealed the electronics manufacturing industry at a crossroads of political uncertainty, technological transformation, and talent challenges.

Tariffs dominated discussions, creating a palpable sense of unease. EMS companies aren't necessarily advocating for specific policies but seek stability to make confident investment decisions. This uncertainty extends to manufacturing locations, with executives questioning whether operations should be in the US, Mexico, Canada or elsewhere. The business decision of where to manufacture has become a complex calculation influenced by shifting political winds.

Talent development emerged as a critical focus during the EMS Leadership Summit. Audrey McGuckin delivered a compelling keynote and facilitated discussions on linking business strategy with talent acquisition and development. Companies recognize that addressing the talent pipeline is fundamental to future success, regardless of technological advancement.

The AI conversation has evolved significantly. Unlike the overwhelming scope of Industry 4.0 initiatives that left many disappointed, companies now favor targeted AI projects with clear KPIs and solid ROI potential. Many attendees came specifically to identify trustworthy AI partners who could guide them through implementation without expensive missteps. At least, previous work undertaken in the name of Industry 4.0 has provided valuable connectivity and data foundations that are essential for successful AI deployment.

European politics also received some attention, with discussions about the recent German elections and defense spending increases. This political focus underscores IPC's crucial government relations work undertaken in Brussels, Washington and around the world.

Subscribe to our YouTube channels at https://www.youtube.com/@scooptv3275 and follow the EMS@C-Level podcast to catch all the upcoming interviews as we dive deeper into these industry-defining conversations. The insights shared at APEX 2025 will undoubtedly shape manufacturing strategies around the world.

EMS@C-Level Live at APEX is sponsored by global inspection leaders Koh Young (https://www.kohyoung.com) and Creative Electron (https://creativeelectron.com)

EMS@C-Level is hosted by global inspection leaders Koh Young (https://www.kohyoung.com) and Global Electronics Association (https://www.electronics.org)

You can see video versions of all of the EMS@C-Level pods on our YouTube playlist.

Transcript

Show Wrap-Up and California Sunshine

Speaker 1 0:00

So there you have it three days, 50 plus interviews. Ipc Apex 2025 is officially over. People are wrapping up incredibly quickly and getting out of the building into the California sunshine and enjoying what's left of the day. It's been a fascinating show. A lot of interest, of course, in tariffs and what's been going on there and the economic and business uncertainty that's causing. My sense is that EMS companies are concerned about what's happening. They're not looking necessarily for a specific outcome, although if you're south of the border, you definitely are looking for an outcome. They're looking for a situation where they can confidently make investment without worrying about the tariff that might come today, tomorrow, next week and how that might impact their decisions. I think the same is true as EMS companies look at their global footprints and think about where they want to manufacture, particularly here in North America. Do they want to be north of the border? Do they want to be south of the border? Is Canada still important? How viable is Mexico? It's all there, it's all up for grabs and it's all subjects that are vexing EMS companies up and down the country and around the world for that matter. It's been great to see some European contract manufacturers here, particularly on Monday during the EMS Leadership Summit, where they shared the same interests as their American counterparts Lots of discussion about talent and how we mitigate talent shortages, but also how we develop talent in the industry. So we have great succession plans, we build a bench of talent and we bring new talent and nurture that talent and maintain that talent as they come through the industry. Audrey McGuckin of McGuckin Group gave a great keynote at that session and actually led a roundtable that allowed people to really get into the talent challenges they have and think about how they can build strategies to deal with them.

AI Implementation Challenges

Speaker 1 1:56

Another topic that was covered in the EMS Leadership Summit that really resonates with those that I've interviewed here the visitors particularly is the question of AI. How do I use AI? How does AI produce value for my business? I think the lack of success, to be frank, that we had with Industry 4.0, because it was too overwhelming, because it was too big that has given people pause and cause for concern With AI. They want to be able to get on the journey and have some tangible success as quickly as possible.

European Politics and IPC Recognition

Speaker 1 2:36

The idea of ring-fence projects that have very specific KPIs, have a solid return on investment, is really attractive to companies. Right now they're coming to the show. Lots of companies are sending additional people just with the express task of figuring out what we're going to do with AI. Who are the right partners to help us on our AI journey? Who are the safe pair of hands? Who are the guides that can guide us through the complexities and stop us going down the wrong rabbit hole with AI and make sure we're doing the right thing? I think what's interesting as much as many of them feel they didn't get a dividend from industry 4.0, what they did get is connectivity, and what they did get is data, and that's foundational to what AI is going to be able to provide them with. So there is some intrinsic value there, and when we look at CFX as a key part of that, that's kudos to IPC for the work they've done and all the volunteers and all the committees that have brought projects like that to fruition.

Speaker 1 3:39

Other areas of discussion, for example, have been what's going on in Europe? What about the recent German elections? What about the raising of debt ceilings for defense spending? What impact will that have on the industry on both sides of the pond? So, all in all, some incredibly interesting discussions.

Speaker 1 3:57

I've never been to a show where I've talked about politics so much on camera. Normally that's left off camera, but I think that's fascinating, Kind of again underlines the work that IPC do in terms of government relations and the importance of that. It's been nice to see some recognition for people like Zava from Zona, who got the President's Award for all the work he's done in supporting government relations, but also additions to the IPC board of directors. Seeing Gunter Lauber from ASMPT join that group, someone who has fabulous experience in the industry and has actually worked in the US as well as Europe and will add a great deal. Alongside him, Markus Haschenbrunner of Zona is another new member of that board.

Content Follow-Up Information

Speaker 1 4:45

So exciting news there from a European standpoint. It's been an exciting show. It's been an exhausting show. As I say, more than 50 interviews recorded. We'll be rolling those out over the next few weeks. Watch out for them on the various different channels. Follow me on LinkedIn, Look at the YouTube channel, Follow the EMS at Sea Level podcast, and you'll be able to see, hear and read about all these different conversations that I've had. Look forward to the next one. Look forward to talking to you again. Thanks so much for being part of our audience and I really appreciate it.