Manufacturers Accelerate Nearshoring to Improve Resilience and Cut Lead Times
New research shows 80% of executives relocating supply chains closer to U.S. markets amid ongoing disruption
CHICAGO, November 20, 2025 – A sweeping transformation of North American manufacturing supply chains is underway as industrial leaders rapidly deploy nearshoring strategies to combat persistent disruption and compress delivery cycles, according to new industry analysis from Resilient Manufacturing Solutions (RMS).
The strategic pivot reflects mounting pressure from geopolitical instability, trade policy uncertainty, and customer demands for faster fulfillment. Unlike previous cost-driven outsourcing waves, this shift prioritizes operational resilience and velocity over marginal labor savings. Manufacturers are increasingly recognizing that proximity to end markets provides critical competitive advantages in an era defined by supply chain volatility, enabling faster response to demand fluctuations and reducing vulnerability to transoceanic disruptions.
Recent data from KPMG’s “Proximity Premium” report, which surveyed 250 senior U.S. executives, reveals that more than 80 percent are actively moving supply chains closer to the United States, with [76 percent planning implementation within the next one to two years]. The study highlights nearshoring as a precise, strategic approach rather than a wholesale relocation, focusing on reducing risk while increasing responsiveness to market changes, particularly in automotive, aerospace, and defense sectors.
The momentum extends beyond executive intention to measurable operational progress. According to McKinsey & Company’s latest supply chain risk survey, 73 percent of manufacturers report advancement on dual-sourcing strategies, while 60 percent have taken concrete steps to regionalize their supply chains over the past three years. These moves have delivered tangible results: companies are unwinding pandemic-era inventory buffers, with only 34 percent now relying on safety stock as a primary risk management tool—down sharply from 59 percent in 2022.
“Lead time reduction represents the most immediate and quantifiable benefit of nearshoring,” said Michael Torrez, CEO of Resilient Manufacturing Solutions. “Our clients consistently report 40 to 60 percent improvements in delivery cycles by shifting production from Asia to Mexico and Central America. This isn’t just about risk mitigation; it’s about creating an agile supply chain that can pivot with market demands in real time.”
The strategic calculus extends beyond logistics speed. Nearshoring reduces transportation costs, improves quality oversight, lowers carbon emissions through shortened shipping routes, and provides greater intellectual property protection through tighter geographic control. Additionally, regional production enables greater collaboration between engineering and manufacturing teams, accelerating product development cycles and reducing time-to-market for new innovations.
Implementation challenges remain significant. Companies must navigate complex labor market dynamics, build new supplier ecosystems, and invest in workforce development. However, advanced planning and scheduling systems are helping organizations model multiple scenarios and optimize nearshoring transitions. McKinsey’s research indicates that two-thirds of manufacturers are now implementing these digital tools to enhance decision-making and resilience evaluation.
Looking ahead, analysts project the nearshoring trend will accelerate through 2026 as near-term trade policy uncertainty continues and companies complete facility construction. The focus is expected to expand beyond Mexico into emerging manufacturing hubs in Central America and the Caribbean, driven by trade agreement benefits and growing technical workforce capabilities.
About Resilient Manufacturing Solutions
Resilient Manufacturing Solutions (RMS) is a Chicago-based supply chain advisory firm specializing in nearshoring strategy, implementation, and optimization for industrial manufacturers. With expertise across automotive, aerospace, defense, and heavy equipment sectors, RMS helps companies redesign supply chain footprints to enhance resilience, reduce lead times, and improve competitive positioning. Founded in 2018, RMS has guided over 150 manufacturers through successful nearshoring transitions in Mexico and Latin America.
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