IDEAS home Printed from https://ideas.repec.org/a/eee/poleco/v93y2026ics0176268025001648.html

Friend-shoring, near-shoring, and reshoring in factories America, Asia, and Europe amid rising geopolitical tensions

Author

Listed:
  • Ando, Mitsuyo
  • Hayakawa, Kazunobu
  • Kimura, Fukunari
  • Mukunoki, Hiroshi

Abstract

This study empirically investigates changes in sourcing patterns across three major production hubs: Factory America, Factory Asia, and Factory Europe. Specifically, using international and intra-national trade data from 2015 to 2024, we examine four types of “shoring” strategies, i.e., political friend-shoring, economic friend-shoring, near-shoring, and reshoring, simultaneously. Our findings provide quantitative evidence of increasing reliance on political friend-shoring, weakening dependence on near-shoring, and recent progress in reshoring amid heightened geopolitical risks, whereas economic friend-shoring appears unattractive on average. Moreover, we show that greater product substitutability does not necessarily lead to more significant changes in sourcing. We also revealed a notable difference across regions in political friend-shoring. The degree of its dependence is consistently most substantial for Factory America, while political motivations remain relatively unattractive for Factory Asia, with some specific variations even within the same Factory.

Suggested Citation

  • Ando, Mitsuyo & Hayakawa, Kazunobu & Kimura, Fukunari & Mukunoki, Hiroshi, 2026. "Friend-shoring, near-shoring, and reshoring in factories America, Asia, and Europe amid rising geopolitical tensions," European Journal of Political Economy, Elsevier, vol. 93(C).
    • Handle: RePEc:eee:poleco:v:93:y:2026:i:c:s0176268025001648
    DOI: 10.1016/j.ejpoleco.2025.102804
    as

    Download full text from publisher

    File URL: http://www.sciencedirect.com/science/article/pii/S0176268025001648
    Download Restriction: Full text for ScienceDirect subscribers only
    File URL: https://libkey.io/10.1016/j.ejpoleco.2025.102804?utm_source=ideas
    LibKey link: if access is restricted and if your library uses this service, LibKey will redirect you to where you can use your library subscription to access this item
    ---><---

    As the access to this document is restricted, you may want to

    for a different version of it.

    More about this item

    Keywords

    ;
    ;
    ;
    ;

    JEL classification:

    • F15 - International Economics - - Trade - - - Economic Integration
    • F53 - International Economics - - International Relations, National Security, and International Political Economy - - - International Agreements and Observance; International Organizations

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:eee:poleco:v:93:y:2026:i:c:s0176268025001648. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Catherine Liu (email available below). General contact details of provider: http://www.elsevier.com/locate/inca/505544 .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.