China-based Electronic Component Distributors Expect 20 Percent Revenue Growth in 2005 - 5th Annual Survey Results to be Presented to Lead Companies

HONG KONG, July 6 /Xinhua-PRNewswire-FirstCall/ -- Global Sources Ltd (NASDAQ: GSOL) will present the results of its fifth annual Electronic Component Distributor Survey in Hong Kong on July 7, Shenzhen on July 11, Shanghai on July 13, and Beijing on July 15. The survey presents information from nearly 900 component distributors and corporate, general and procurement managers working for China-based electronic manufacturers.

Leading component distributors have registered to attend the July 7 presentation, including Advanced MP Technology, Arrow Asia Pac, Avnet Asia, Excelpoint, Future Electronics and Memec Asia Pacific. Many of these companies' principals-some of the world's biggest technology companies-will also participate, including Freescale Semiconductor Hong Kong, Infineon Technologies, National Semiconductor and Toshiba.

Global Sources' Electronics Supply & Manufacturing-China (ESM-China) launched the survey in 2001 to track component distribution trends in the mainland. ESM-China managing editor, Major Lee, and associate publisher, Bennie Hui, will conduct the presentations.

ESM-China publisher, Mark Saunderson, said: "With China's booming electronics industry providing more business opportunities than ever, surveyed distributors are confidently predicting growth. They achieved average revenue of US$29 million in 2004 and are expecting revenue growth of 20 percent in 2005.

"One factor behind this optimism is the increasing proportion of components that electronic manufacturers purchase through distributors. In 2005, manufacturers expect to purchase an average 61 percent of their components through distributors-compared to 58 percent in 2004 and 51 percent in 2003."

Collaboration throughout product development

The survey also indicates that 92 percent of manufacturers are working closely with distributors throughout product development.

In selecting distributors, 56 percent of manufacturers primarily look for those that provide strong technical support. Thirty-seven percent prefer distributors with product replacement capabilities. Other important qualifications include the ability to offer credit terms, and provide research and development support.

Diversifying into automotive electronics, industrial controls, medical devices

Saunderson said: "Sixty-four percent of surveyed distributors said that their main concern in 2005 is dealing with increasing competition in China. Other difficulties involve customers' erratic purchasing patterns and fluctuating market demand."

To counter these challenges, 53 percent of respondents plan to diversify into new market segments including automotive electronics, industrial controls and medical devices. Thirty-eight percent plan to explore new product lines.

In addition, the survey covers distributors' target markets, application segments and criteria used in selecting the brands they represent. It also presents manufacturers' evaluations of 45 leading distributors in China.

To secure a complimentary copy of the survey results, or for more information on the presentations, please contact Email Contact .

About Global Sources

Global Sources is a leading business-to-business (B2B) media company that facilitates global trade, with a particular focus on the Greater China market, by providing information to international buyers and integrated marketing services to suppliers.

We deliver content to our communities through nine vertical marketplaces on Global Sources Online ( and through specialized magazines, China Sourcing Fairs and technical events. These media serve a growing, independently certified community of more than 430,000 active buyers in over 230 countries and territories. These buyers generate more than 4 million inquiries annually for more than 130,000 suppliers through Global Sources Online alone.

We offer extensive creative services through 150 client service officers, and through more than 850 sales representatives who make approximately 45,000 supplier visits monthly. In mainland China, we have 23 years on-the-ground presence, and are supported by more than 1,200 team members in 44 locations. Global Sources' solutions are based on 34 years as a trade magazine publisher serving the global trade community, 14 years as a trade management software developer, 13 years as manager of trade shows in Asia, and nine years as an online marketplace operator.

Electronics Supply & Manufacturing-China (ESM-China) is published by eMedia Asia Ltd., a joint venture between Global Sources and CMP, a leading integrated media company providing essential information and marketing services to the entire technology spectrum. The joint venture is a leading provider of new technology content, in print and online for the 150,000-plus technology specialists that drive the electronics industry in China and Asia. eMedia Asia Ltd. serves this community's ongoing need for the right information, at the right time through its integrated, local-language web networks, premier technical events and industry leading publications -- Electronics Supply & Manufacturing-China and Electronic Engineering Times-Asia.

    Global Sources Press Contact in Asia:
     Camellia So
     Tel:   +852-2555-5023
Email Contact

    Global Sources Press Contact in U.S.:
     James W.W. Strachan
     Tel:   +1-602-978-7504
Email Contact

    Global Sources Investor Contact in Asia:
     Eddie Heng
     Tel:   +65-6547-2850
Email Contact

    Global Sources Investor Contact in U.S.:
     Kirsten Chapman & Moriah Shilton
     Lippert/Heilshorn & Associates, Inc.
     Tel:   +1-415-433-3777
Email Contact

CONTACT: For investors in Asia, Eddie Heng, +65-6547-2850, or
Email Contact, in U.S, Kirsten Chapman & Moriah Shilton,
+1-415-433-3777, or fax, +1-415-433-5577, or Email Contact, of

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