Geographical decoupling describes the isolation of countries due to political motivations. This makes it harder for companies to pursue cross-border economic activities. As a result, this increases the pressure on supply chains and organisational structures.
Thinking globally, acting locally
Wilo pursues a systematic “region-for-region approach” in order to counteract the global risks and challenges of geographical decoupling. With a strategy of allowing as much decentralisation as possible and as much centralisation as necessary, the company is increasing its resilience and stability in the face of a crisis.
The most important geostrategic conflict in the world is the rivalry between China and the USA. The world’s major nations are pursuing policies of self-sufficiency and confrontation even while their economies are closely intertwined. A decoupling of these two key markets would trigger a domino effect that would lead to a significant loss in global prosperity.
A GLOBAL PRESENCE
A CAMPUS IN THE USA
A PLANT IN CHINA
SEMICONDUCTORS MADE IN GERMANY
A GLOBAL PRESENCE
Primary production locations
Wilo is continuously increasing its degree of vertical integration, and hence its value added. The company currently has 15 primary production locations around the world, and further sites will be added in the coming years. This is enabling Wilo to secure its local production activities, get closer to its customers and ensure unbroken supply chains. New headquarters are being built in China, and another will follow in the USA in the medium term. In future, the Wilo Group will manage its global business from three headquarters: Germany, China and the USA.
In future, the Wilo Group will manage its global business from three headquarters: Germany, China and the USA.