Electronics Component Trading

Electronics component traders buy and sell semiconductors, chips, and electronic components serving manufacturers and contract assemblers.

With electronics manufacturing massive and component shortages common, trading generates revenue of $170,000-$630,000 with 30-50% margins during shortages.

The business requires deep component knowledge, working capital, global sourcing network, testing capability, and manufacturer relationships.

Services include component sourcing globally, excess inventory purchasing, shortage allocation, component testing and certification, counterfeit prevention, and consignment programs.

Revenue through buy-sell margins and brokering.

Success factors include understanding semiconductor market cycles and shortages, global sourcing network for allocations, component testing to prevent counterfeits, building manufacturer trust, and timing market for excess and shortages.

Marketing focuses on contract manufacturers, OEMs, and engineering procurement.

With chip shortages and electronics manufacturing complex in 2025, component trading offers technical opportunities requiring deep market knowledge.