Nearshoring trends: Impact on quality assurance and supplier management

In 2025, nearshoring continues to reshape the global manufacturing industry, with companies prioritizing supply chain resilience, cost efficiency, and geopolitical stability. 

The trend of relocating production closer to primary markets—particularly from China to North and South America, as well as Southeast Asia—has accelerated due to ongoing trade tensions, rising labor costs, and the need for faster delivery times.

This article provides a breakdown of the key developments and highlights shaping the international manufacturing landscape through nearshoring in 2025.

Mexico as a manufacturing powerhouse

Since Mexico surpassed China as the top source of imports to the United States in 2023, with a staggering $49 billion dollar lead (U.S. Census Bureau), imports from China have taken a backseat to Mexico’s international trade success. According to the Office of the United States Trade Representative, from 2023, U.S. imports from China in 2024 went up by 2.8% ($12.1 billion) while imports from Mexico increased by 6.4% ($30.6 billion).

This transition of industry infrastructure and economic influence to Mexico is partially driven by its proximity to the U.S., established trade agreements, and a growing skilled workforce. However, the ultimate cause of this paradigm shift are persistent tensions between the U.S. and China and their ongoing tariff war. 

Furthermore, Mexico’s industrial capabilities are well developed in states like Baja California, Nuevo León, San Luis Potosi, Chihuahua, Puebla and Coahuila, where there are large clusters of automotive, electronic, aerospace and medical technology manufacturers. 

Global reach: Beyond the US-Mexico border

Throughout the globe, nearshoring is an emerging trend. According to a J.P. Morgan report,  Central and South American countries like Costa Rica and Colombia are experiencing a positive change in U.S. foreign direct investment, and in Asia nearshore manufacturing is also driving the economic growth of India, South Korea and Taiwan. 

In Europe, in part due to the Russian-Ukrainian conflict, companies are turning towards near-shore production and relocating to Central and Eastern European countries such as Poland and Romania to leverage skilled labor and lower operational expenses.

These changes respond to geopolitical shifts, trade policies, and the need for supply chain resilience, making nearshoring a global strategy rather than a regional phenomenon.

Relocation of automotive and electronics industries

Chinese companies are shifting their production to Mexico to maintain access to U.S. markets while navigating trade restrictions. This trend is particularly evident in automotive and electronics industries, where many manufacturers like BYD are relocating operations to Mexican territory to secure regional supplier networks and avoid disruptions caused by trade tensions and global logistics bottlenecks. 

Given the current U.S. and China dispute, this increase of Chinese investment in Mexico is likely to be one of the main discussion points for the upcoming USMCA review in 2026. 

Strengthening supply chains

The disruptions caused by the pandemic in 2020, ongoing geopolitical tensions, and international industry delocalization have highlighted the need for robust supply chains. Companies engaged in nearshore manufacturing are investing in regional supplier networks to reduce dependence on distant sources and improve operational agility. 

While factors like infrastructure, political stability, and workforce skills all play a role in determining the most suitable nearshoring location, recent advancements in transportation, energy, and digital connectivity are making nearshore production more viable.

Workforce specialization

While nearshoring trends present vast growth opportunities for various regions, upskilling the local workforce to meet the requirements of advanced incoming industries remains a challenge. This is driving investment in training and professional development for specialized talent in cybersecurity, quality engineering, and logistics, while increasing demand for bilingual professionals, compliance specialists, and supply chain experts. 

The future of nearshoring: Automation and sustainability

As they continue to evolve in 2025, the future of nearshoring trends is increasingly shaped by automation and sustainability. In this context of global manufacturing, innovative companies are leveraging AI-driven quality management systems, predictive analytics, and digital tracking tools to reduce costs and optimize nearshore production.

For growing nearshoring centers, ensuring robust infrastructure to support the increase in production while integrating green energy solutions, circular economies, and carbon-neutral practices is essential for sustainable development. Therefore, relocating manufacturers must maintain efficiency and transparency ensuring sustainable operations.

Kiuey is a useful tool for upholding high quality standards and regulation requirements, whether locally or internationally. With automated supplier audits, compliance monitoring, and process documentation, our fully cloud-based solution enables manufacturers to digitize workflows, instantly access documentation, and collaborate remotely.

Reinforce both operational excellence and environmental responsibility with Kiuey. Schedule a free demo to start saving time and resources today.