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Can nearshoring help companies avoid counterfeit components?

Jun 8, 2023
supply chain

In this article, Electronic Times makes the point that a reduced supply chain complexity makes it easier to ensure authenticity and avoid counterfeit components.

“Purchasing parts on the open market, particularly from companies outside of North America, is a risky proposition—particularly for small to medium-sized businesses that may not have the resources associated with an established global network,” opines Misha Govshteyn.

Supply chain complexity can make it difficult to track the origin of the parts and ensure their authenticity. Manufacturers are under increasing pressure to manage costs while dealing with ongoing supply chain disruptions, and counterfeiters seek to exploit these challenges for their own gains. “By keeping production closer to home, nearshoring can help reduce the complexity of the supply chain and increase transparency, making it easier to track the origin of components and ensure their authenticity,” writes Misha.

Nearshoring also helps to increase quality control. With operations taking place closer to home, manufacturers can more easily monitor the quality of the components and ensure that they meet the required specifications. Working with trusted partners — like Astute Electronics — who can source parts in the open marketplace, test them and validate them can provide assurance that end products will meet business standards.

Misha concludes, “While initial costs may be higher in producing components in countries closer to home, that cost can be offset by protecting that investment via the reduced risk of counterfeit parts, as well as the increased quality control and faster delivery times that come with nearshoring.”

To avoid electronics supply-chain disruptions, you may also wish to consult an expert in electronics component supply. With more than three decades of supply-chain expertise, Astute Electronics is ideally placed to work with you on your daily component requirements.

For more help with looking at supply chain options, contact Astute Electronics