Why GM and Stellantis are rerouting supply chains from China
Reuters: GM and Stellantis pushing suppliers out of China by 2027, rerouting and localizing to boost supply-chain resilience amid rising geopolitical risk.
U.S. automakers General Motors and Stellantis have embarked on a sweeping reset of their supply chains. According to Reuters, GM has asked thousands of suppliers to stop sourcing components in China and secure alternative providers, with a deadline set for 2027.
The move reflects rising geopolitical risks and the companies’ drive to reduce dependence on Chinese manufacturers. Stellantis is reworking its sourcing strategy as well, tightening control over logistics and pushing further into production localization. In practice, this points to careful rerouting and partner audits rather than abrupt cuts, a gradual shift that demands discipline from procurement teams.
Both companies emphasize that strengthening supply-chain resilience is a top priority amid global uncertainty. For the auto industry, this could mark the start of a new chapter, with future models relying less on Chinese-made components and strategy decisions shaped more explicitly by risk management.