Nearshoring involves relocating factories from the country of origin to a nearby one where everything is less expensive: worker salaries, electricity and fuels, supplies… and even taxes.
What is “Nearshoring” in Logistics?
Nearshoring in logistics refers to the strategy of relocating logistical and production operations to locations geographically close to the company’s country of origin.
Types of Nearshoring
Nearshoring can be classified into several types depending on the geographical location and the nature of the operations relocated. Some common types include:
Regional: Refers to relocating operations to countries or regions geographically close to the country of origin. For example, a company in Europe relocating activities to neighboring countries.
Proximity: Involves relocating operations to geographically close locations within the same country. This can be applied at the state or regional level.
Vertical: Focuses on outsourcing specific activities in the supply chain, such as component manufacturing, to nearby locations.
Functions
Control Terrestre, as a logistics company, can utilize nearshoring in various ways:
Regional Logistics Centers: Establishes logistics centers in strategic locations close to target markets to streamline goods distribution.
Efficient Land Routes: Plans shorter and more direct land routes to reduce transportation costs and improve delivery times.
Local Inventory Management: Adapts inventory management to regional demands, optimizing product availability in a localized manner.
