23008_Nearshoring Report

Despite many of the major challenges of the pandemic – including the alleviation of shutdowns of key manufacturing areas and seaports in China, global shipping costs returning to more normal levels and re-opening of retail settings – having now mostly been resolved, supply chain challenges remain some of the top concerns for European businesses leaders.

CFOs HIGHEST CONCERNS FOR COMPANY'S GROWTH OVER THE NEXT 12 MONTHS

RISING INTEREST RATES INFLATION SUPPLY CHAIN DISRUPTIONS

GEOPOLITICAL INSTABILITY & CONFLICTS TRANSITIONS OF POLITICAL LEADERSHIP INCREASED ECONOMIC VOLATILITY CHANGES IN TRADE POLICY AND RELATIONSHIPS DOMESTIC POLITICAL CONFLICTS RISING INCOME INEQUALITY COVID-19 PANDEMIC INSUFFICIENT GOVERNMENT SUPPORT VOLATILE ENERGY PRICES

SOCIAL UNREST UNEMPLOYMENT WEAK DEMAND HIGH LEVELS OF NATIONAL DEBT LABOUR SHORTAGES ASSET BUBBLES

% OF RESPONDENTS 0 5 10 15 20 25 30 35 40 45 50

SOURCE: McKinsey Global Survey on the role of the CFO, Dec 2022 QUESTION: “What, if anything, do you see as the biggest potential risks to your company’s growth over the next 12 months?”

AS A RESULT, BUSINESSES ARE NOW ACTIVELY EXPLORING AND ACTIVATING STRATEGIES TO RESPOND TO THE CHANGING RISKS AND IMPACTS OF LONGER SUPPLY CHAINS.

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