China + 1 Sourcing: Challenges and Opportunities

Global Commodity Prices Experience a Dip

Global commodity prices have witnessed a further decline, marking a softening decrease for the fifth consecutive month, according to a report published by S&P.

Global Manufacturing Undergoes Major Shift

Over the past five years, more than 90% of North American manufacturers have moved some production out of China due to geopolitical issues and high U.S. tariffs. During this time, U.S. imports from China dropped by 10%, while increasing 18% from Mexico, 44% from India, and 65% from ASEAN countries.

Nearshoring: Mexico faces a mixed bag

Over the 12 months to July, 20% of Mexican manufacturing firms noted a rise in demand thanks to nearshoring, while 31% foresee further growth opportunities in the next year. Yet, several challenges persist.