JPMorgan says 'friendshoring' drives a 45% surge in cross-border deals as companies ditch risky countries for stable allies
MoneyWise
Last updated: April 26, 2026
Businesses are increasingly prioritizing "friendshoring," directing investments and supply chains towards nations perceived as politically stable and dependable allies. This strategic shift is driven by a desire for greater reliability and reduced geopolitical risk in global commerce.
- Major financial institutions are observing a discernible trend of companies reconfiguring their international operations. This involves identifying and strengthening ties with countries that align with their geopolitical interests, fostering more secure and predictable business environments.
- The emphasis is on building resilience within supply chains by minimizing exposure to potentially volatile regions. This approach seeks to mitigate disruptions arising from political instability, trade disputes, or other international uncertainties.
- Friendshoring represents a proactive measure by corporations to safeguard their assets and operational continuity. It reflects a strategic adjustment in global economic engagement, favoring partnerships based on trust and shared political outlooks.
- This strategy aims to create a more robust and less vulnerable global trade network by deepening economic relationships with allied nations, thereby enhancing predictability and stability in international business dealings.
