To further derisk supply chains, Reiss suggests creating redundancy, reducing dependence on one country, and diversifying manufacturers' options. She also anticipates an increase in supply chain regulation and suggests that tech companies could find solutions in data, using open-sourced intelligence and closed data sets to understand the full length of the supply chain.
Key takeaways:
- SolidIntel CEO, Megan Reiss, advises clients on strategies to derisk their supply chains amid tariff concerns and potential volatility in markets, including moving operations out of China.
- China's dominance in the production of rare earth minerals, which are crucial for AI technologies, poses significant risks to tech supply chains.
- Strategies such as 'friend-shoring' (moving operations to non-adversarial countries) and 'nearshoring' (moving operations closer to home) can enhance national security and tech resilience.
- Creating redundancy in manufacturing, or diversifying parts of supply chains that are dependent on one country, is another way to derisk the supply chain.