TechnologyJuly 4, 2026

nearshoring

/ˈnɪərˌʃɔːrɪŋ/

Definition

The business practice of transferring operations, such as manufacturing or technology services, to a nearby country to reduce costs and improve logistical efficiency.

Etymology

The term is a portmanteau of the adverb 'near' and the noun 'offshoring'. It emerged in modern business parlance as companies sought to balance the low-cost benefits of global outsourcing with the logistical advantages of shorter supply chains and shared time zones.

In the news

In this article, the term describes how Mexico is shifting its role from basic manufacturing to becoming a regional hub for high-value enterprise technology and AI services. This evolution highlights how geographical proximity is being leveraged to support advanced digital innovation rather than just physical production.

Mexico Takes Steps Toward an AI-Driven Economy

Read the full article ↗

Mexico Business News

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