Mazda, which is a Japanese automotive manufacturer, tries to change the structure of its supply chain. In other words, the company wants to make its supply chain more resilient. For example, it will gather its member including engineers to discuss how to reduce hierarchy of its supply chain. Also, they will talk about how to integrate its production facilities into fewer cites in Japan.

Why does Mazda want to change the structure of its supply chain? This is because there is high uncertainty across the globe. For example, the trade war between China and the US has been continued since 2018. After that, the pandemic happened. Of course, most of countries restore their activities now. However, during the period, there were radical change of supply and demand, chip shortage, high inflation rate and invasion from Russia.

As a result, more companies understand that they have to effects from geopolitical tensions. More companies have tried to diversify their production locations and increased their inventories. In this sense, Mazda is without exception.

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