global Tax Reshoring vs. Offshoring February 12, 2015 Disclaimer This post was published more than two years ago, and some information may now be out of date. We want to help you make the best decisions possible—please connect with your advisor or check out our latest resources for the most current guidance. Bringing manufacturing operations home may be a beneficial option for some US companies, but has also proven to be a difficult, and sometimes daunting process. Offshoring is seemingly not the most profitable option for companies as of late, but is reshoring the solution? It appears that reshoring has its share of difficulties as well, which could present companies with a difficult decision on the proper course of action. Reshoring Challenges Wider range of suppliers in China than in the US Shortage of skilled labor and an overall inexperienced workforce in the US Outdated machinery in US factories Businesses thinking about reshoring will have to be prepared to face costly adjustments in business practices, so many are questioning whether reshoring is worth the risk. For more information on the benefits and drawbacks of the reshoring process, please read our whitepaper: “Restoring Business through Reshoring”.
