Possibly, however perhaps not:
Amid the present U.S.-China technological race, the U.S. has imposed export controls to disclaim China entry to strategic applied sciences. We doc that these measures prompted a broad-based decoupling of U.S. and Chinese language provide chains. As soon as their Chinese language prospects are topic to export controls, U.S. suppliers usually tend to terminate relations with Chinese language prospects, together with these not focused by export controls. Nevertheless, we discover no proof of reshoring or friend-shoring. On account of these disruptions, affected suppliers have unfavourable irregular inventory returns, wiping out $130 billion in market capitalization, and expertise a drop in financial institution lending, profitability, and employment.
That’s from the NY Fed, by Matteo Crosignani, Lina Han, Marco Macchiavelli, and André F. Silva. By way of RH.
