1. Trends 2026+ China +1 Strategy

New trading companies no longer rely solely on China as a single production or sourcing base. Instead, they maintain China's advantages in scale and efficiency while establishing backup or new operations in at least one other country. This helps diversify risks related to tariffs, geopolitics, and supply disruptions. The strategy has evolved from “China +1” to “China + N” (multi-point diversification).

Example: Continues to produce high-end iPhones in China but has significantly expanded production lines in India and Vietnam to reduce dependence on a single market.

New trading companies widely adopt AI, blockchain, and digital platforms to automate document processing, supply chain tracking, risk prediction, and demand planning. This significantly reduces traditional paperwork costs and improves decision-making speed. AI also supports carbon emission tracking and real-time customs clearance.

Example: AI predictive tools analyze tariff changes, logistics delays, and supply risks.

Trading companies are placing greater emphasis on ESG standards, promoting low-carbon supply chains, circular economy practices, and carbon footprint transparency. Companies that meet green requirements find it easier to secure financing and win contracts from major clients. The EU's Carbon Border Adjustment Mechanism (CBAM) further reinforces this trend.

Example: Apparel and outdoor furniture cover industries adopt recyclable material designs to comply with strict international regulations.

The industry is shifting from the global “just-in-time” model to regionalization, multi-sourcing, and friendshoring. The focus is now on flexibility and risk mitigation rather than pursuing the lowest cost alone. Geopolitical tensions and tariff uncertainties are accelerating this change.

Example: Hybrid model: “China as primary + Southeast Asia as backup” to enhance overall resilience.

In 2026, new trading companies must navigate increasing protectionism, frequent tariff changes, and policy uncertainty (especially from major economies like the US). This drives rapid reconfiguration of trade flows, sourcing decisions, and market strategies, forcing companies to treat tariffs and trade policies as core variables rather than background risks.

Example: Adoption of tariff-management platforms and dynamic pricing models to maintain competitiveness amid sudden duty changes and non-tariff barriers.