Importers and manufactures are looking for solutions “closer to home”

Recent supply chain disruptions have led to a global trend of sourcing and moving production closer to home, according to the latest Reuters study “A generational shift in sourcing.”

The report shows that 67% of global retail and manufacturing companies have changed materials and components sourcing locations in recent years, 58% have said that further such steps are a high priority for their organisations.

37% of the surveyed manufacturers plan to relocate their production from Asia. It is only important that the new countries for the production location provide a skilled workforce, a stable political environment and good infrastructure. The most preferred global destinations are India, Vietnam, Germany and Poland.

European companies surveyed name Germany and Poland as the most attractive supply sources or locations of factories relocated from distant Asia. These countries were indicated by 23.3% and 19.4% of respondents, respectively. A quarter of the respondents to the survey intend to move production closer to end markets.

Similar conclusions can be drawn from the research of BCI Global consulting company. Their research has showed that 62% of European and American companies expect to reshore some of their production activities from Asia to another countries, but only a fifth of companies would like to completely bring back their Asian production capacity.