​A growing number of businesses are rethinking their global manufacturing strategies. Due to rising foreign wages, rising tariffs on steel, aluminum, and electric components, and reconsiderations of the total cost of ownership, The Reshoring Institute predicts that companies will increasingly be motivated to participate in reshoring efforts in the coming years.
Here are some highlights from the study:
• More than half of the executives surveyed reported that they were planning or considering reshoring activities in the next five years.
• 97% said that they would consider a domestic source for parts if the price and quality were competitive to foreign suppliers.
• In addition to the growing attractiveness of U.S. markets, the unpredictability of tariffs and trade regulations leave companies conducting international business wary of unexpected cost increases.
• The survey found that from 2017 to 2018, the number of companies operating in multiple global locations decreased by 10%.       (MH&L)