The high price of breaking up global supply chains

Consumers will suffer as US-China trade war strains production, markets and regulation fragment

20191113 Foxconn

Foxconn has manufacturing facilities in 16 countries in the world but 75% of its total capacity is centralized in China. © Corbis/Getty Images

The news that Apple is asking suppliers to evaluate diversifying their production capacity out of China signals a major shift in how we will be thinking about the globalization of manufacturing in the years ahead.

It heralds the end of a three-decade period during which the opening of major new markets and reduction of tariff and non-tariff barriers fueled unprecedented growth in traded goods and services.

Sponsored Content

About Sponsored ContentThis content was commissioned by Nikkei's Global Business Bureau.