An analysis by J.P. Morgan Asia Pacific Equity Research showed that Southeast Asia benefits more over other regions from supply chain shifts, constituting 40 percent of the mentions where companies disclose the geography.
“We believe that optimism around the resolution of trade tensions has delayed plans of relocation. In our view, continuing trade tensions will lead to further supply chain shifts. On average, companies have indicated supply chain can shift in 2-3 quarters,” the report stated. Based on the analysis, the Philippines would benefit from supply chain shifts for semiconductor equipment, electronic devices, electrical power equipment, and electrical components.
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