Bunzl, the UK distributor of products that range from plastic spoons to PPE, is “de-risking” its supply chain by shifting some of its sourcing from China amid geopolitical concerns in the Asia-Pacific, reports the Financial Times.
Frank van Zanten, chief executive, said that the company, which buys 10-15% of the products it supplies to customers from China, was diversifying this sourcing into countries including Mexico, India, Vietnam and Malaysia.
Bunzl’s customers range from hotels to supermarkets, including Walmart, its largest customer by revenue. “We import about $1 billion [in products] from China,” said Van Zanten. “But . . . we are reducing our exposure in China by moving to other countries.”