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Anglia Warns of Supply Chain Risks from CEM-Broker ‘Cartel’

THE VOLT VOTES

Amid a fresh wave of mergers and acquisitions in the electronics sector, Anglia Components has raised concerns over the potential impact on supply chain transparency and independence.

Anglia Components Warns of Supply Chain Risks Amid M&A The Volt Post

The distributor, one of Europe’s longest-established authorised component suppliers, warned that increasing consolidation, particularly involving contract electronics manufacturers (CEMs) and brokers, could blur traditional supply chain boundaries and concentrate buying power within a small number of organisations.

Speaking on the issue, CEO Steve Rawlins pointed to a recent development where a major CEM acquired a leading electronic component broker. “This confirms rumours that had been circulating for months,” he said. “It’s concerning because it places too much buying power in the hands of one organisation, which could leave the supply chain exposed. If this becomes a broader trend, it risks creating artificial shortages and driving up prices.”

Anglia’s stance is shaped by its own past experience. Around 25 years ago, the company briefly ventured into CEM operations, an experiment Rawlins described as “a disaster,” as customers grew uneasy about potential conflicts of interest. The initiative was quickly abandoned.

Anglia Components Warns of Supply Chain Risks Amid M&A The Volt PostAt the heart of the issue, according to Anglia, is the growing overlap between manufacturing, distribution, and open-market sourcing, and how it affects governance and trust across the ecosystem. The company continues to advocate for transparent, three-way partnerships between component manufacturers, distributors, and customers.

“We operate with full transparency in the best interests of our customers,” Rawlins added.

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VOLT TEAM
VOLT TEAMhttps://thevoltpost.com/
The Volt Team is The Volt Post’s internal Editorial and Social Media Team. Primarily the team’s stint is to track the current development of the Tech B2B ecosystem. It is also responsible for checking the pulse of the emerging tech sectors and featuring real-time News, Views and Vantages.

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