Nearshoring

In the last few years, many companies which have been manufacturing in Asia for a long time have been moving their manufacturing back or opening additional manufacturing facilities in Eastern Europe. VIL has launched the ‘Nearshoring’ project in conjunction with seven companies to identify the logistical opportunities presented by this trend and then to capitalize on this to the maximum.

status: Closed | theme: Green Supply Chains | type: Regional

Manufacturing nearer

The heyday of offshoring – relocating business processes to a company in a low-wage country that is geographically remote – appears to be past. This is largely because the (wage) cost benefits have sharply declined. For instance, wages in China have increased five-fold in the last ten years. Many companies who have been manufacturing in Asia for a long time are moving their manufacturing back or opening manufacturing facilities in Eastern Europe. This trend, known as nearshoring, is altering logistics chains.

Taking advantage of new opportunities across the board

The shift in the international manufacturing landscape presents opportunities for the logistics sector in Flanders that need to be grasped across the board and not in an ad hoc manner. The industry is seeking new, flexible solutions for dealing with the altered logistics chain. Through this project, VIL doesn’t just aim to make the Flemish sector aware of and alert to logistical opportunities. VIL aims to provide a roadmap outlining the different steps that have to be taken by logistics service providers and manufacturers so as to really get to grips with these logistical challenges.

Benefits for manufacturers – opportunities for carriers

Manufacturing near to the EU market offers many benefits: for instance it is possible to respond more quickly to more and more urgent consumer demands, lead times are shorter and information flows improve. Developments in the field of e-commerce are increasing the importance of customer service. Customers want their products faster and adapted to their specific requirements.

Logistics service providers need to consider what role they can play in these new supply chains. They need to keep a close eye on developments so they can constantly offer their customers the best solution.

Results

VIL members can download the report (in Dutch) for free (Kennisbibliotheek), non-members can make an order (VIL webshop).

Practical

Start: March 2015

Lead time: 17 months

Participating companies

Ahlers Belgium, Barco, DHL Supply Chain, DSV, Gemeentelijk Havenbedrijf Antwerpen, Group Gheys and Philips.

AhlersBarcoDHLDSVGHA_Port of AntwerpGheysPhilips

Deelnemers Nearshoring

Sounding board

Departement Mobiliteit en Openbare Werken and Flanders Investment & Trade.

MOW FIT nieuw 2015

Press releases (in Dutch)

News

 

VIL stands for a strong logistical Flanders

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