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Some in the press and blogosphere have commented recently on the confluence of economic, governmental and social factors that could lead to a significant shift of work from China.

For a couple of quick examples, see here and here.

In this article from Supply & Demand Chain titled "2008 Global Trade and Supply Chain Predictions," the shift continues to get ink. Check out this excerpt:

Sourcing Shifts from Asia to the Americas: Coinciding with the 2008 Summer Olympics in Beijing, media attention will focus on China as the world's next potential "bubble" and cause many manufacturers to shift sourcing strategies from Asia to the Americas. The falling U.S. dollar, limited free trade agreements, high energy costs and rising production costs in Asia will all contribute to companies reevaluating extended supply chains and moving sources closer to their home markets. In addition, shareholders and board members could question their company's reliance on China and the Asia region should any further negative headlines arise regarding quality issues or if China receives bad press on the handling of protestors (sic) and dissidents prior to the Olympics. While opportunities still exist in Asia, Mexico will become an increasingly popular source for manufactured goods as companies compete on time-to-market strategies, seek financial advantages found in Mexico's multiple free trade agreements and capitalize on Mexico's investment incentives, streamlined customs processes and abundant English-speaking workforce.
As noted, this isn't a long-term shift; other low-cost countries are sniffing up China's exhaust and gaining ground. But this shift is real, and offers manufacturers in more mature manufacturing economies real opportunities to get business back, or restart relationships with buyers.



Feb 25, 2008 4:59 AM Guest Guest

the only problam is what ever serch engine u go to u always find 95% china suppliers and manufacturers , where is you try to find manufacturers in mexico u can wait a long time because they are not advertised

Feb 25, 2008 5:09 AM Click to view aj's profile aj

Fantastic point, Hersch. For some reason, I've noticed for quite awhile that Latin America (and South America, for that matter) have yet to embrace the Web for marketing/promotional purposes. It sure would help, huh?

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