Examining the Hard Truths About Leaving China for Other Asian Manufacturing Hubs

There is broad appeal in the market right now to escape the brunt of the trade war crossfire by shifting production to places like Vietnam, Thailand, or Indonesia. Given how many brands rely on their OEMs to source their packaging, most don’t realize the hidden complexities that are inherent with this shift until it is too late. So, before you get too far down the path of planning your China exodus, Trillora implores you to consider the following when it comes to your packaging needs.

Top 10 Critical Considerations When Shifting Production Locations

Quality & Capability Assessment - Evaluate if new converters can match your existing quality standards and have the necessary printing capabilities for your packaging needs.

Material Compatibility - Ensure special paper requirements (FSC certification, kraft paper color matching) can be met locally or the available options align with your existing packaging standards.

Compliance Verification - Confirm new suppliers meet all brand standards and regulatory requirements before proceeding.

Financial Impact Analysis - Calculate new costs, assess impact on pricing of remaining products if partial production continues with existing suppliers, and budget for any new tooling needs. What will the total ramp up costs be in the new location and will there be any legacy costs in the old location?

Timeline Planning - Account for first article sample production, tooling development, and OEM setup and training in your transition schedule.

Geographic Strategy - Identify optimal OEM locations considering distance to suppliers, delivery costs, and service standard implications. You are likely considering this for your product inputs. A good partner can help on the packaging side.

Capacity Confirmation - Verify new suppliers have sufficient capacity to handle your volume requirements on an ongoing basis AND without service disruptions.

Training & Integration - Plan for comprehensive OEM training on your assembly requirements where necessary.

Strategic Product Rollout - Determine which products to transition first based on risk profile and volume considerations.

Partner Early - Engage with a neutral third party at the earliest planning stages to understand all available options and develop a comprehensive transition strategy for your packaging needs. Your OEM is an expert in manufacturing, not packaging.

The decision to shift production from China to countries like Vietnam, Thailand, Malaysia, Indonesia, or India is not merely logistical—it's a strategic pivot that affects your entire supply chain and brand identity. Success depends on understanding the specific advantages and limitations of each potential manufacturing location rather than viewing "Asia" as a monolithic alternative to China. By approaching this transition holistically and as a strategic opportunity rather than merely a reactive cost-cutting measure, brands can build more resilient and geographically diverse supply chains while navigating the complex tariff landscape.

Don’t let your packaging needs be an afterthought.

David Kalman is a strategic leader with over 25 years of experience. He supports Trillora’s efforts in delivering smarter packaging solutions that help brands optimize performance, sustainability, and cost efficiency.