(4 September 2024 – China) The pace of reshoring is set to intensify as ongoing trade tensions between China and the United States, coupled with the potential for tariffs regardless of the US election outcome, prompt corporates to pursue a “China Plus One” strategy.
Supply chain resilience has become a top priority for large corporates in the wake of major disruptions including the pandemic and shipping attacks in the Red Sea. Companies must assess the vulnerability of potential locations to natural disasters, geopolitical risks, and other potential disruptions.
The decision to onshore, nearshore, or reshore operations is far from straightforward.
“Successful implementation of any relocation strategy requires long term planning, a capable and experienced executive team, as well as continuous monitoring of the global economy and geopolitical events. By asking the right questions, conducting due diligence, and having contingency plans, companies can sail through VUCA and position themselves for long-term sustainability and resilience in a world where complexity and volatility have become the modus operandi” commented Global Trade Magazine Author Omar Kazzaz.