Friendshoring
Friendshoring is a geopolitical trade strategy in which companies shift their supply chains to countries with shared political values and strategic alliances. Unlike traditional offshoring, which focuses on labor cost savings, Friendshoring prioritizes security and ideological alignment to avoid economic coercion by adversaries.
Economically, this shift may raise production costs due to limited sourcing but acts as essential insurance against "supply chain weaponization."
It supports long-term stability in critical sectors such as semiconductors, renewable energy, and minerals. By combining supply chain resilience with diplomatic ties, companies reduce risks from sudden geopolitical decoupling.
See also: Reshoring and Nearshoring