Biden orders sweeping review of U.S. supply chain weak spots - More US manufacturing to come?
President Biden ordered a “100-day government review of potential vulnerabilities in US supply chains for critical items” according to The Washington Post.
These essential goods include personal protective equipment, batteries for electric vehicles, and certain rare earth as well as computer chips.
While this may not directly affect most ecommerce sellers who source products mainly from overseas, it does signal a shift that the US is making more efforts to bolster it’s homegrown supply chain.
During the midst of the pandemic, there was a period where the over-reliance on foreign suppliers exposed the weak links in the supply chain. Gloves, masks, and other personal protective equipment were sold out everywhere.
Some US car manufacturers couldn’t even make cars because certain computer chips which were sourced overseas could not be found due to effects of the pandemic.
While this is only a study and there haven’t been any formal changes made yet, it could potentially be an inflection point where eventually it may lead to more US manufacturing for consumer products.
One example of a successful US manufactured product is the “nugget” kids play couch craze. These foam furniture for kids to play and rearrange was one of the hottest sellers in 2020.
Though they do use imported fabric, the foam and assembly is done in the US.According to their website: “Every Nugget is manufactured one at a time in Butner, North Carolina at Nugget HQ. We use fabric sourced from Vietnam, China and El Salvador, and foam produced in Mt. Airy, North Carolina.”
India vs China? Sourcing your top selling products - Webinar featuring Meghla Bhardwaj and me
In this 62-min training, you will learn:
- What products can be sourced from India and where to find them?
- What products cannot be found in India?
- Is sourcing from China still worthwhile?
- Should one stay with one supplier? And when should one consider backup suppliers?
- How to source products during the pandemic when trade shows are closed?
- Gary’s quick tips on negotiating with Chinese suppliers
Watch the replay here:
This webinar was hosted by Tom Meeks from AVASK Accounting which provides accounting and VAT services for Amazon sellers. You can learn more about AVASK here and email Tom with any questions (email@example.com).
Here are some things you may have missed from last week:
- Chinese Suppliers are back to work from Chinese New Year Holiday
- Get Your First Month Free at Helium 10 (Special offer expires Feb 28th, 2021)