Manufacturing in China for the U.S. in 2026: Tariffs, China+1, and the Real Cost of Moving Production

What does manufacturing in China for the U.S. really look like in 2026? In this episode, we share the full audio from a live presentation by Fabien Gaussorgues, CEO of Agilian Technology, on the risks and opportunities facing companies that import from China into the United States. Fabien breaks down the current tariff landscape, including recent changes, and explains why tariffs are now structural, not temporary. If you’re sourcing electronics, electromechanical products, or components from China, this is essential listening. You’ll learn: How Section 301 and new reciprocal tariffs impact landed cost Why “China+1” isn’t as simple as shifting final assembly What “substantial transformation” really means under U.S. Customs rules The hidden cost of longer lead times and locked-up working capital Real-world comparisons: Shenzhen vs. Malaysia production timelines When U.S. or Mexico manufacturing makes economic sense The realistic 2026 scenario for U.S.–China trade (and why full decoupling is unlikely) How to design a supply chain based on total cost of ownership, not slogans Fabien also answers audience questions on supplier diversification, automation in China, labor shifts inland, and how to think about tariff risk without overreacting. If you’re a product company, importer, operations leader, or founder manufacturing in China, or considering moving production to Vietnam, India, Mexico, or the U.S., this episode will help you make decisions grounded in operational reality. This is not a theory. It’s what’s happening on the ground right now. Listen in and decide how you’ll structure your supply chain for 2026 and beyond.   Episode Sections: 02:42 - Manufacturing Risks and Opportunities 08:25 - Navigating Tariff Challenges 11:23 - China Plus One Strategy 13:20 - Substantial Transformation Explained 15:06 - Final Assembly Considerations 21:13 - Moving Production Out of China 22:32 - Risks of Full Decoupling 25:19 - Key Takeaways for Businesses 28:07 - Audience Questions and Insights 53:52 - Closing Remarks and Future Insights   Related content… Download the accompanying PPT here.   This episode is brought to you by The Sofeast Group and includes links in the show notes to our blog posts and resources, and recommended books. For help with manufacturing in Asia, inspections, auditing, new product development, contract manufacturing, 3PL warehousing and fulfillment, visit sofeast.com.  Get in touch with Sofeast Connect with us on LinkedIn Contact us via Sofeast's contact page Subscribe to our YouTube channel Prefer Facebook? Check us out on FB