Flexible, localized and technology-driven strategies will help U.S. manufacturers adapt to shifting trade policy and global uncertainty, according to the Automotive News article, “Tariff uncertainty pushes automakers toward supply chain localization and factory automation.”
Faced with shifting trade policies, geopolitical tensions, cost volatility and material and labor shortages, nearly two-thirds of suppliers are considering reshoring operations, according to a study by the MEMA Original Equipment Suppliers. Tariff-related lawsuits and the upcoming July review of the United States-Mexico-Canada Agreement have further intensified uncertainty.
“The main thing I’ve been advising clients over the past year is, the more flexibility you can have in your supply chains and supply chain contracts, the more you’re going to be able to handle and deal with these types of issues,” said Homayune Ghaussi, a commercial litigation attorney with Warner Norcross + Judd and chair of the firm’s Supply Chain Industry Group.
Automotive News subscribers can read the full article here.
With deep roots in the heart of the U.S. automotive industry, Warner’s Automotive Industry Group provides proactive, timely and cutting-edge advice to suppliers throughout Michigan, North America and around the globe. Warner attorneys are recognized leaders in every area of law that impacts the global automotive and mobility market and understand the complex relationships between parts suppliers and vehicle manufacturers. Firm attorneys stand ready to assist suppliers assessing their current contracts.
