The Container xChange survey also found that US businesses are expected to relocate more overseas production to geopolitical allies, in a move dubbed “friend shoring”. “The objective is to prevent countries, especially China and Russia, from using their market advantages in key raw materials, foods and products,” the survey found.
US personal computer giant Dell Technologies, for example, has decided to stop using China-made semiconductors by next year and may move about half of its production out of the country by 2025, according to Nikkei Asia and Taiwan media reports last week.
In addition to supply chain adjustment, inflation and economic recession are seen by 88 per cent of survey respondents as the biggest impeding factors for their business this year, followed by war, Covid-19 in China and workers’ strikes.
“Europe is hit hard with all-time high inflation, China struggles to cope with the virus, and the US continues to witness hinterland transportation challenges and labour unrest,” said Christian Roeloffs, co-founder and CEO of Container xChange. “Most of these challenges will stay in 2023.”
