Is Globalisation a Thing of the Past? Supply Chains Tell the Real Story

For decades, globalisation was the business buzzword. Products were made where labour was cheap, shipped where margins were fat, and managed through complex, just-in-time logistics. But now, from boardrooms to factory floors, the question is being asked: Is globalisation over?

The short answer? Not quite. But it’s certainly changing — fast.

The Global Supply Chain reset

COVID-19 exposed just how brittle global supply chains had become. One stuck container ship in the Suez Canal, one virus outbreak in Shenzhen, and suddenly shelves were empty in Auckland and Atlanta alike. Then came Russia’s war in Ukraine, trade spats between China and the West, and a rethink of reliance on “friendly” manufacturing nations.

Businesses learnt the hard way that cheap isn’t always better — and resilience now trumps efficiency.

Three Key Trends Emerging

Nearshoring & Friendshoring: Companies are moving production closer to home or to politically aligned countries. Think Mexico for the US, Eastern Europe for the EU, and Southeast Asia as a partial hedge away from China.

Supply Chain Redundancy: The era of single-source suppliers is over. Businesses are building layered supply networks with regional backups to reduce disruption risk.

Digital Supply Chains: Smart tracking, AI forecasting, and real-time analytics are no longer nice-to-haves. They’re core to navigating an unpredictable global landscape.

Not an End — A Shift

Globalisation isn’t dead. It’s morphing from hyper-connected and cost-driven to strategic and selective. For many businesses, it’s less about global reach and more about global resilience.

For New Zealand exporters, this means understanding shifting trade winds. For importers, it means reassessing vulnerability. Either way, adaptability is the name of the game.

So, is globalisation a thing of the past?

No. But the playbook has changed — and supply chains are writing the next chapter.