Re-industrialising Europe

A new reality for high volume electronics manufacturing

About this Content 

European countries have largely chosen to offshore manufacturing activities in favour of low-cost countries since the 1980s. Increases in the economic liberalisation and international trade in developing countries presented attractive low-cost markets to produce manufactured goods, such as electronics. Over time, developing markets were gradually able to supply more specialised production services, resulting from increased access to educational channels and the advancement of information and communication technologies, representing another step towards the downscaling of European mass-manufacturing activities. Fast-forward to the present day however, and the rising cost of labour and energy in traditionally low-cost countries, concerns over growing environmental issues, exposure to supply chain dependencies and vulnerabilities, and the increasing threat of the theft of intellectual property diminish the benefits of offshoring.

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