Business, Forwarding, Freight News, Logistics


Looking beyond China – new DHL white paper

[ February 11, 2025   //   ]

DHL Global Forwarding, the ocean and air freight division of DHL Group, has published a white paper, ‘China Plus X: The New Global Supply Chain’. It highlights multi-shoring strategies that go beyond the classic ‘China Plus 1’ philosophy and focuses on diversifying production and supplier locations in several to safeguard against global disruptions and increase flexibility.

Recent geopolitical tensions, trade barriers and events such as the Covid pandemic have highlighted how fragile supply chains can be. The white paper discusses various countries in South East Asia, Southern and Eastern Europe as well as Middle East and South America as strategic alternatives and additions to China, as they offer both infrastructural investment and increasingly trade-friendly regulatory environments.

The paper outlines criteria for selection of production and supply chain locations. A robust transportation infrastructure is paramount, and countries like Vietnam and Mexico are making significant investments.

It is also important to evaluate labour costs, and the overall return on investment, while the quality of digital and physical infrastructure plays a crucial role. Availability of a skilled workforce is another significant consideration, particularly as countries like India invest in education. Finally, understanding the regulatory environment is essential including taxes, customs, tariffs, and participation in trade agreements.

The paper is available for download at: China Plus X: The New Global Supply Chain | DHL Global Forwarding

Tags: