From Just in Time to Supply Chain Resilience for Thai Exporters

Prachachat•Economy•3d ago

Reader Briefing

Global businesses are shifting from Just in Time logistics toward Supply Chain Resilience to balance efficiency and flexibility.

•Global businesses are reviewing production chain management due to geopolitical conflicts, natural disasters, trade barriers, and volatile transport costs.
•WTO data shows global value chain trade accounted for approximately 46% in 2024.
•International trade patterns are shifting from price competition toward confidence in contractual delivery.

•Global businesses are transitioning from the Just in Time (JIT) concept, which focused on efficiency and cost reduction, toward Supply Chain Resilience.
•Geopolitical conflicts, natural disasters, trade barriers, and volatile transport costs have prompted the review of production chain management.
•WTO data indicates that trade in global production chains in 2024 remained high at approximately 46%, a slight decrease from 48% in 2022.
•The global trade shift means buyers prioritize confidence that goods will be delivered during crises over simple price competition.
•Exporters with reserve raw materials and risk management plans can use reliable delivery, or Resilience Premium, as a competitive selling point.
•The shift in trade dimensions moves from relying on a single lowest-cost production source toward flexible production.

Full article content is available on the original source.

EXIM BANK Business Research Department(ฝ่ายวิจัยธุรกิจ EXIM BANK)

The author of the article regarding supply chain resilience for Thai exporters.

The provider of data regarding the proportion of trade in global production chains.