The Potential Winners and Losers in Reshoring Supply Chains
Until values, priorities and incentives change, “the lifestyle you ordered is currently out of stock and on back order, with no estimate of a future delivery date.”
The ultimate winners and losers in reshoring supply chains to North America have yet to be determined, and may change depending on the time frame. In the short-term, there are ample reasons to reckon consumers will be the losers as shortages and price-gouging (“it’s the tariffs” will be the excuse given for profiteering) take their toll.
Matt Stoller has posted two comprehensive essays on these topics:
How Monopolies Could Exploit the Tariff Shock
How to Prepare for the Coming Supply Chain Shock
In the longer term, however, consumers could be winners as reshored supply chains will be more stable and predictable than globalized supply chains. Stability has a value that isn’t recognized until it’s absent–as do durability and quality.
One set of potential winners might be large retail corporations that choose to switch from “horizontal” global supply chains to vertically integrated domestic production, in which raw materials are turned into finished products in one production
Article from LewRockwell
LewRockwell.com is a libertarian website that publishes articles, essays, and blog posts advocating for minimal government, free markets, and individual liberty. The site was founded by Lew Rockwell, an American libertarian political commentator, activist, and former congressional staffer. The website often features content that is critical of mainstream politics, state intervention, and foreign policy, among other topics. It is a platform frequently used to disseminate Austrian economics, a school of economic thought that is popular among some libertarians.
