The Australian: Broad Shift Away From China For Manufacture And Supply Of Goods To Take Time: Oliver Wyman
July 19, 2022
Vietnam is gaining market share from China in the manufacturing and supply of goods as bottlenecks persist, but any broad shift away from China will be protracted.
That’s the view of consulting firm Oliver Wyman after gauging opinions at its Leadership Reimagined event series in the Asia Pacific region. The event saw leaders come together across the clothing industry, ports and financial sectors to debate what’s next for global supply chains.
The fresh dialogue comes as Covid-19, a string of flood events and the war in Ukraine has also reignited concerns in Australia about the nation’s limited manufacturing capability, following the exit of the last car manufacturers before the pandemic.
The prior federal government – under Scott Morrison – outlined a Modern Manufacturing Strategy, initially in late 2020 making a $1.5bn investment, to help domestic manufacturers scale up and build more resilient supply chains.
“Australia’s smaller scale relative to Europe and the United States puts it at a disadvantage during periods of supply chain stress,” said Oliver Wyman partner Ben Simpfendorfer.
“There are few short-term fixes. But the industry must shift away from paper-based to digital trade. The federal government can drive this change in partnership with leading private players.”
Read the full article on: The Australian