Onshoring manufacturing
A predicted trend for 2025, involving massive funding deals to build out hardware manufacturing capabilities within the United States, particularly for robotics and autonomous systems, to compete with China.
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7/26/2025, 5:37:17 AM
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Summary
Onshoring manufacturing, also known as reshoring or nearshoring, is a strategic business trend involving the relocation of production back to the country of origin or closer to domestic markets. This practice is anticipated to gain significant momentum in 2025, primarily driven by the desire to enhance competitiveness against countries like China, reduce exposure to international supply chain disruptions, and improve quality control. The shift is further influenced by advancements in autonomous hardware, robotics, and the adoption of technologies like full self-driving, which are expected to benefit companies such as Tesla and Google. Onshoring offers benefits such as greater control, reduced lead times, improved quality, and economic advantages through job creation and local investment. The United Kingdom, with its rich manufacturing history dating back to the Industrial Revolution, remains a significant player, ranking as the world's 11th largest and Europe's 4th largest manufacturer in 2023, with the sector contributing substantially to its exports.
Referenced in 1 Document
Research Data
Extracted Attributes
Benefits
Greater control, reduced lead times, improved quality, enhanced responsiveness to customer needs, reduced exposure to international disruptions, strengthened domestic industries, job creation, local investment
Definition
The practice of bringing manufacturing or services back to the country of origin.
Key Influences
Advancements in autonomous hardware and robotics, increasing adoption of full self-driving technology
Alternative Terms
Reshoring, Nearshoring
Primary Driver (2025)
Desire to compete more effectively with China
UK Manufacturing Global Rank (2023)
11th largest
UK Manufacturing European Rank (2023)
4th largest
UK Manufacturing Workforce Proportion (June 2010)
8.2%
UK Manufacturing Contribution to Goods Exports (2014)
44%
UK Manufacturing National Output Proportion (June 2010)
12%
Timeline
- The Industrial Revolution began in the United Kingdom, contributing to Britain's early economic growth through manufacturing. (Source: wikipedia)
1700s
- During the second half of the 20th century, there was a steady decline in the importance of manufacturing in the United Kingdom as its economy shifted toward services. (Source: wikipedia)
1950s-1990s
- Manufacturing in the United Kingdom accounted for 8.2% of the workforce and 12% of the country's national output. (Source: wikipedia)
2010-06
- Manufacturing accounted for 44% of goods exports in the United Kingdom. (Source: wikipedia)
2014-XX-XX
- The United Kingdom had the world's 11th largest manufacturing output and the 4th largest in Europe. (Source: wikipedia)
2023-XX-XX
- Onshoring manufacturing is anticipated to gain significant momentum, driven by strategic pushes to compete with China and strengthen supply chain resilience. (Source: related_documents)
2025-XX-XX
Wikipedia
View on WikipediaManufacturing in the United Kingdom
The United Kingdom, where the Industrial Revolution began in the late 18th century, has a long history of manufacturing, which contributed to Britain's early economic growth. During the second half of the 20th century, there was a steady decline in the importance of manufacturing and the economy of the United Kingdom shifted toward services. Manufacturing, however, remains important for overseas trade and accounted for 44% of goods exports in 2014. In June 2010, manufacturing in the United Kingdom accounted for 8.2% of the workforce and 12% of the country's national output. The East Midlands and West Midlands (at 12.6 and 11.8% respectively) were the regions with the highest proportion of employees in manufacturing. London's manufacturing sector had the lowest at 2.8%. In 2023, the United Kingdom had the world's 11th largest manufacturing output and the 4th largest in Europe.
Web Search Results
- What are the benefits of onshoring? - Prototek Digital Manufacturing
Onshoring refers to the practice of bringing manufacturing or services back to the country of origin, often to reduce costs and improve quality control. Onshoring offers greater control, reduced lead times, improved quality, and enhanced responsiveness to customer needs, enabling businesses to stay agile and competitive. [...] Onshoring of manufacturing operations involves moving production closer to the domestic market, which can result in benefits such as decreased lead times, improved quality control, and increased collaboration with local suppliers. In contrast, offshoring, which entails relocating manufacturing processes to foreign countries, may lead to challenges such as longer supply chains, communication barriers, and cultural differences that can impact productivity and efficiency. [...] Onshoring, or reshoring, refers to relocating business processes and suppliers closer to home. This trend has gained significant traction as companies, particularly those in the consumer and technology sectors, seek to build more resilient and efficient supply chains. This blog post explores how the benefits of onshoring can help businesses maintain continuity and improve operations. ## Benefits of Onshoring Manufacturing Projects ##### Greater Control and Quality Assurance
- What's Coming for US Manufacturing in 2025 | NIST
Reshoring will increase.Many manufacturers are shifting operations closer to home to reduce exposure to international disruptions and logistics issues. Small manufacturers will benefit from reshoring by accessing local or regional supply networks that can provide faster turnaround times and more flexible production. [...] Reshoring and Stronger Domestic Supply Chains --------------------------------------------- The COVID-19 pandemic and global disruptions have made it clear that traditional supply chains are vulnerable.As a result, reshoring — bringing manufacturing back to the U.S. — is expected to accelerate in the coming years. This trend will lead to reduced dependence on overseas suppliers, mitigate risks, and create more resilient domestic supply chains. ### Predictions: [...] ### How Smaller Manufacturers Can Leverage Reshoring Opportunities for Growth February 18, 2025 In recent years, reshoring — the process of bringing manufacturing back to the U.S. — has gained momentum. Companies are reevaluating their offshore supply Image 12: Data analysis science and big data with AI technology ### How to Find the Right Balance of Data for Your Industrial AI System February 4, 2025
- Top manufacturing trends to watch in 2025 - Hanwha Group
Beyond reducing supply chain disruptions, nearshoring offers arange of benefits. By keeping production closer to demand, manufacturers can respond more quickly to market shifts, improving flexibility and operational agility. Strengthening domestic industries also brings economic advantages, creating jobs and fueling local investment. [...] While automation and AI are reshaping how goods are produced, manufacturers are also rethinking where production happens. In 2025, reshoring and nearshoring are accelerating as companies work to strengthen supply chain resilience and reduce reliance on distant suppliers. The COVID-19 pandemic exposed critical weaknesses in global logistics, forcing businesses torethink their sourcing strategies. Now, geopolitical tensions and shifting trade policies are further driving this transition. [...] 3.The shift toward localized supply chains ------------------------------------------ Image 10: Wide view of a ship docked and tied to tugboats at Hanwha Philly Shipyard
- 2025 Manufacturing Industry Outlook | Deloitte Insights
government policy could bolster supply chain restructuring efforts to balance cost and resilience, such as the nearshoring activity that has led Mexico to become the leading trade partner for the United States.56 Respondents in the 2024 Fortune/Deloitte CEO survey indicated international trade as the third top area where US elections could have the greatest impact, behind regulations and taxes.57 And manufacturers may already be bracing for potential changes: According to the NAM 2024 outlook [...] The authors would further like to acknowledge the support of Clayton Wilkerson for orchestrating resources related to the report; Kimberly PraudaandNeelu Rajput who drove the marketing strategy and related assets to bring the story to life; Alyssa Weir for her leadership in public relations; and Cintia Cheong, Pubali Dey, and Aparna Prustyfrom the Deloitte Insights team who supported the report’s publication. Cover image by: Rahul Bodiga [...] replace one skilled frontline worker ranges from US$10,000 to US$40,000, while 56% say that employee turnover has a moderate to severe impact on their bottom-line finances.21
- [PDF] Manufacturing Trends 2025
supply chain can halt production elsewhere, leading to missed deadlines, unhappy customers and financial losses. [...] For example, if a rail strike were to disrupt a key transportation corridor, a company with full supply chain visibility could reroute shipments quickly via alternative methods, such as trucking or air freight. They could also identify suppliers closer to their production facilities or adjust production schedules to align with the availability of materials. This flexibility is only possible when companies have a clear, real-time view of their supply chains. [...] well as the risks and costs.