Geopolitics continue to influence trends on a global scale
But not all materials can be sourced locally. In our quest for sustainability comes an ever-increasing demand for critical, yet rare minerals. Lithium, nickel, and cobalt are all used in the manufacture of electric vehicles, wind turbines, and solar panels. By the beginning of 2024, some 58% of UK manufacturers had begun relocating their production from overseas to be closer to their markets 1 . Despite environmental concerns over mining and the potential impact on local communities, the economic fortunes of those countries with these scarce mineral deposits are continuing to rise.
The ongoing war in Ukraine, hostile relations between the US and China, and the threat of wider conflict in the Middle East are just some of the increasing uncertainties the UK is currently experiencing. “De-globalisation has resulted from these geopolitical tensions, and is driving a trend away from US dominance and towards a more polarised or localised world. A world where states, regions, and even large conglomerates hold power in certain geographic locations or over technologies,” shared Tom Anelay, Head of Public Affairs at Citypress. While many companies operate globally, more of them are increasingly shifting towards meeting local demand with local production. In part, localisation is down to the many supply chain disruptions caused by a myriad of political and weather related events over recent years. It is also a response to the growing need to operate more sustainably. A shorter supply chain means there's less potential for disruption. And, with fewer miles travelled, transportation costs are inevitably lower and carbon footprints can be reduced. For example, by the beginning of 2024, some 58% of UK manufacturers had begun relocating their production from overseas to be closer to their markets 1 . Localisation is also driving much greater value being placed on supporting local artisanship, celebrating and revisiting traditions, together with championing the use of local materials.
Crown | Colour Insights | 2025/2026 | page 7
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