“Deglobalization” has entered the narrative zeitgeist. But what’s happening on the ground? This weekly series seeks to answer that question with a round-up of deglobalization developments from the week that’s done.

1. Dell has announced it intends to phase out Chinese chips by 2024 – and has told suppliers to reduce the amount of other “made in China” components in its products – part of an effort to diversify its supply chain amid concerns over Washington-Beijing tensions.

2. Toyota supplier Denso is reshaping its supply chain to decrease dependencies on China. “Our hubs across the world source various components from China. We will gradually reduce our dependence on the market, making key parts at various locations across Japan and Southeast Asia,” said its CEO in an interview with Nikkei Asia. “We are considering establishing a production framework for electric-vehicle parts in Southeast Asia in particular, which is behind other regions in this field.”

3. Plus, Tesla supplier Panasonic has said it is exploring producing more car battery materials in the US that were previously sourced in China. “Decoupling of the US and China is becoming a bigger challenge for us,” said CEO Yuki Kusumi in an interview with the Financial Times.

4. China denounced COVID-19 restrictions on its travelers imposed by Canada, the US, France, Spain, and Japan, among others – and said that Beijing would consider reciprocal measures. “We firmly oppose the practice of manipulating COVID prevention and control measures to achieve political goals, and will take corresponding measures in accordance with the principle of reciprocity according to different situations,” said a foreign ministry spokesperson.

5. The New York Times covered American companies shifting production and supply chains from China to Mexico – driven by geopolitical tension, supply chain snarls, and geography: “As American companies seek to limit their exposure to the pitfalls of making goods in China, some are moving production to Mexico…During the first 10 months of last year, Mexico exported 382 billion USD of goods to the United States, an increase of more than 20 percent over the same period in 2021, according to US census data.”

6. The Intercept scooped that “hacked Russian files reveal a 2021 bilateral agreement between Russia and China to cooperate on propaganda” – signed by not only government entities and state outlets but also private media companies and businesses, including Huawei, China Mobile’s Migu Video, and Switzerland-headquartered SPB TV.

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