Manufacturing

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Key drivers forecasting the demand of semiconductors

The forecasting of this variable can be used to help businesses make decisions about production, inventory, and pricing. For example, a business that produces semiconductors may want to reduce production if the capacity utilization rate is low, as this indicates that there is excess capacity in the semiconductor market.

< 2 mins

Time taken to
identify most
relevant indicators

25+

Relevant
leading
indicators

92%

MAPE
forecast
accuracy

*Indicio captures the group effect of the leading indicators, the relevance ranking of each indicator changes over time.
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Here are the leading indicators identified using Indicio:

Main variable:
United States, Capacity Utilization, Computers, Communications EQ, and Semiconductors Total, SA
Indicator name Influence
United States, Imports - Computers, Peripherals and Semiconductors (Census), SA, USD ⭐⭐⭐
Intel stock price ⭐⭐⭐
United States, Retail Sales, Electronics and Appliance Stores, Current Prices, SA, USD ⭐⭐
Standard and Poor's 400 Semiconductors ⭐⭐
NXP Semiconductors ⭐⭐
United States, Exports - Computers, Peripherals and Semiconductors (Census), SA, USD ⭐⭐
United States, Production, Aggregates, Non-Energy, Computers, Communications EQ, and Semiconductors, Volume, SA, Index
MSCI All Country World Index Semiconductors and Semiconductor Equipment United States Dollar
Google trends: US - Volvo Construction Equipment
United States - Manufacturing PMI ⭐⭐

Top indicators identified

United States, Imports - Computers, Peripherals and Semiconductors (Census), SA, USD

The volume of imports can serve as a direct indication of the domestic demand. If the U.S. is importing more computers, peripherals, & semiconductors, it suggests a rising demand for them within the country.

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Intel stock price

While Intel's stock price offers valuable insights into the semiconductor industry's trends and potential demand shifts, it should not be used in isolation. Forecasting semiconductor demand would require analyzing a combination of factors, with stock prices being just one of many variables to consider.

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United States, Retail Sales, Electronics and Appliance Stores, Current Prices, SA, USD

This reflects consumer spending & demand for these products. As semiconductors are key components in many electronic devices and appliances, a surge in retail sales can be indicative of a surge in demand.

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Use cases

Get better insights into demand patterns with strategic forecasting

Plan production more effectively

Indicio provides you with a clearer understanding of your future demand by identifying your relevant market drivers, to ensure you successfully plan your production more effectively and avoid overproduction or underproduction.

Optimize production by improving forecast accuracy

Construction machinery typically has long product lifecycles, making accurate forecasting essential for planning production and inventory management. By improving forecasting accuracy, manufacturers can better anticipate market demand for specific machinery types, plan for product updates or replacements, and avoid excessive inventory of outdated models.

Detect market trend shifts ahead of time

Anticipate market trends and assess the demand for new technologies, and make informed decisions about research and development investments, product diversification, and production capacity.

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“Indicio advances our digital strategy of becoming a data-driven organization, producing accurate forecasts in a fraction of time."

Alexander Noren, a customer that used Indicio

Alexander Norén

Head of Analysis at Skanska
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