Reshoring

Reshoring is when a company moves manufacturing or operations back to its home country after previously outsourcing them abroad. Companies typically outsource to countries with lower labor costs, but reshoring happens when those savings get offset by shipping delays, quality issues, or supply chain disruptions—or when a company wants to market itself as locally made. You'll hear about reshoring in news about trade policy, tariffs, and supply chain strategy, because it affects which countries' economies grow and which stocks might benefit. For example, if TechCorp spent years making phones in Southeast Asia but moves production back to the U.S. due to rising tensions, that's reshoring. It matters to investors because reshoring can change a company's costs, margins, and brand appeal.