The geopolitical situation in the world has been particularly turbulent lately. These developments not only affect the global economy, but we also feel them in our daily operations. How exactly do geopolitical tensions influence the logistics flows of our businesses?
A container with raw materials stuck at a port on the other side of the world. Tariffs that double overnight. Your supplier in Asia is unable to deliver due to new trade restrictions. And meanwhile your customers expect everything to be available immediately.
For many supply chain managers in the food and consumer goods sector, this is no longer a hypothetical scenario. Geopolitical conflicts, trade tensions, and the erosion of the globalisation model are putting the logistics sector under pressure. The question is no longer whether these developments affect you, but how you can rethink your supply chain in turbulent times and how you can respond to them proactively.
Deglobalisation is putting fundamental pressure on the supply chain
For a long time, the logic was simple: produce where it is cheapest, transport to where the demand is. Global chains were the norm. But that logic is cracking at every seam.
The 2026 Consumer Products Industry Outlook by Deloitte, a study among 300 senior executives of large FMCG companies worldwide, shows that deglobalisation and trade policy now top the strategic agenda.
- More than half of the surveyed executives expect to have to raise prices as a result of international trade policy.
- Nine out of ten are already taking active measures to limit their exposure to political risks.
The most popular strategy? More local production and shorter, regional supply chains.
Companies that have optimised their supply chains for scale and low costs in a stable world are now facing the most difficult reorientation in decades.
In what ways can geopolitics affect your supply chain?
1. Tariffs and trade restrictions raise costs unexpectedly
Sudden tariff changes make long-term planning in global chains particularly difficult. What is a cost-efficient choice today can turn out to be an expensive mistake tomorrow. Trade tensions between the US, China and Europe have demonstrated this time and again in recent years.
2. Unstable regions disrupt transport routes
Conflicts in strategically located areas have a direct impact on transport routes, delivery times and inventory management. We feel it immediately in our gas prices when conflicts in the Middle East prevent supply to Europe.
Longer detours, rising insurance costs and uncertainty about availability all weigh on margins.
3. Long chains have more breaking points
The more links, the greater the chance that something goes wrong somewhere. The COVID pandemic made it painfully clear how dependent we are on each other. Geopolitical instability amplifies that effect. Companies with suppliers spread across multiple continents face the greatest risk with every new disruption.
Nearshoring: a strategic necessity, not a buzzword
What is nearshoring?
Nearshoring means that companies move their production, storage and logistics to nearby regions.
Where globalisation was the trend over the past decade, nearshoring is now rapidly gaining ground. Especially among the most forward-thinking players in the sector. And there are good reasons for that.
The data supports this: the FMCG companies that perform best in turbulent times are not the largest, but the most agile. Organisations that can switch quickly, adapt their network flexibly and have reliable regional partners have more options when the market moves.
What are the actual benefits of a shorter supply chain?
- Less dependency on intercontinental transport. Shorter supply lines mean less exposure to geopolitical shocks, port strikes and regulatory changes in distant markets.
- Faster adjustment. With regional partners you can respond more quickly when something goes wrong. That makes the difference between a minor delay and a serious delivery problem.
- Lower safety stocks. More reliable chains require less buffer, which benefits cash flow.
- Stronger collaboration. Regional partners know the local regulations, infrastructure and market dynamics. That contextual knowledge is difficult to replace at a global level.
Why companies are shifting their logistics operations from broad-based to focus
One striking finding from research is the shift from broad, complex portfolios to focused, efficient structures. Deglobalisation increases the cost of wanting to be everywhere at once. Smart companies deliberately choose simplification.
The same logic applies to the choice of logistics partners: a specialised, regional partner who knows your sector and geographical market well offers more value than a global network that is present everywhere to a limited extent. Speed, flexibility and sector expertise weigh more heavily than ever.
What does nearshoring mean for food and consumer goods?
Food: quality and compliance are at stake
In the food sector, everything revolves around freshness, temperature control and compliance with strict European regulations (AFSCA, FSSC 22000, EU organic, FDA). Long, complex chains increase the risk of quality loss and compliance problems. A regional logistics partner with knowledge of temperature-controlled transport and European food standards is no longer a luxury, but a basic requirement.
Consumer goods: agility as a competitive advantage
In a market where retailers are increasing pressure on delivery times, logistics agility is a direct business driver. Companies with a supply chain close to the end market and with insight into the specific challenges of consumer goods (SKU complexity, returns management, rapid throughput) respond faster to demand fluctuations and reduce out-of-stock risks.
How can you bring your logistics operations back to a more locally based model?
1. Understand your geographical distribution needs and vulnerabilities
The question that many companies have sometimes not answered analytically: where is my warehouse located in the best geographical position for my actual distribution needs? Added to this is now the question of whether your suppliers and transport routes are exposed to geopolitical risks.
Companies intuitively think they should have their distribution centre as close as possible to their production site. In practice, however, we see that it is much cheaper and more optimal to place the distribution centre geographically elsewhere. Precise analyses help you minimise the number of kilometres driven, costs and carbon footprint.
WSC can help you here through network studies. By analysing your distribution volumes, delivery addresses and delivery frequencies, we determine the optimal location for your warehouse or distribution platform.
2. Search for regional alternatives
Which functions in your chain can be fulfilled by European partners? Think of warehousing, distribution, co-packing or cross-docking closer to the end market.
WSC has a network of large-scale warehouses with sufficient space and infrastructure for:
- Warehousing at large scale
- Value Added Logistics: co-packing, assembly, labelling, packing options depending on your product type
- Cross-docking for optimal throughput
- Temperature-controlled storage at various temperatures (essential for food)
- Engineered solutions: every warehouse can be specifically adapted to your needs
Our locations are situated on major traffic arteries to optimise transport, and many of our sites are multimodal (inland waterway, rail). This allows the ecological footprint to be reduced and the road network to be relieved.
3. Choose a partner that grows with you
Choosing a regional partner goes beyond a cost consideration. Sector knowledge, flexibility and a proven track record all play a role. Your logistics partner must not only be able to offer a good solution today, but must also be ready to adapt to the challenges of your business in the future.
At WSC we always think along when those challenges arise. This is how we succeeded in giving the fast-growing Materne more storage space and reducing their transport costs, through a few smart interventions.
Always consider how quickly a logistics partner can adapt when you bring your logistics and distribution closer to home.
The future of logistics is regional and resilient
Trade wars, geopolitical conflicts and regulatory shifts are structural features of the new economic landscape. And the most successful companies in the coming years will be the most agile ones.
Those who invest today in shorter, regional chains and reliable local partners are building a competitive advantage that can withstand the next disruption. Whether those disruptions will come is unfortunately no longer a question. The question is whether you are ready for them.
Weerts Supply Chain helps you make that transition. With in-depth expertise in the food and consumer goods sector, a strategically located network in the Benelux and a flexible approach, we think along with you; even when the rules of the game change.
Ready to make your supply chain future-proof?
Get in touch with our team for a no-obligation conversation about how you can strengthen your regional logistics strategy.
