While the Covid-19 pandemic threw a spotlight on the potential vulnerability of global supply chains, many corporates were already evaluating their dependency on certain countries and regions even before this unprecedented shock to the global economy. Indeed, growing trade tensions between the US and China, the pandemic, and the war in Ukraine have led to significant changes in patterns of trade, a trend that is likely to continue as geopolitical uncertainty – one of several key drivers here – seems unlikely to abate any time soon. As such, we are hearing more and more about nearshoring, reshoring, and “China plus one”.
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