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More eurozone firms move back home as offshore costs rise

Italy tops list with 44 companies; clothing, footwear and electronics firms lead 'reshoring'

Published Mon, Dec 1, 2014 · 09:50 PM

Milan

AFTER years of moving production to Asia, some European companies are following the example of their US counterparts and coming home.

Decisions by the likes of Italian leather goods brand Piquadro SpA and battery maker FIAMM SpA to boost production at home do not mark a reversal of the "off-shoring" phenomenon that has shaped global business for two decades.

But companies are tiptoeing back to their home regions, driven by rising salaries in China that are eating away at the profit margins that once lured them abroad. They are weighing the still lower but climbing manufacturing costs abroad against the difficulty of overseeing production far from home, plus the cost and time …

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