Circular transitions in global production networks? A multi-scalar approach to anticipating socio-economic and socio-environmental effects of ‘x-shoring’

Jonathan Friedrich (), Linda Stihl () and Markus Grillitsch
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Jonathan Friedrich: CIRCLE, Lund University, Postal: CIRCLE - Centre for Innovation Research, Lund University, PO Box 117, SE-22100 Lund, Sweden
Linda Stihl: CIRCLE, Lund University, Postal: CIRCLE - Centre for Innovation Research, Lund University, PO Box 117, SE-22100 Lund, Sweden

No 2024/9, Papers in Innovation Studies from Lund University, CIRCLE - Centre for Innovation Research

Abstract: The circular economy (CE) is argued as a possible model for dealing with value chain instabilities in global production networks. Since geographical proximity is central to unlocking circular potential, x-shoring (including concepts like reshoring, resourcing, or friendshoring) is arguably key to this process. Often, spatial restructurings of the CE are embraced without a critical examination of their multi-scalar effects. Nevertheless, spatial restructuring of the economy inevitably produces winners and losers. To navigate the tensions that arise in the context of uneven development and environmental (in)justice, we present a framework for anticipating plausible socio-economic and socio-environmental effects of x-shoring processes across place, scale, and time. We illustrate our framework with insights from the literature on old industrial regions and cases documented in the Environmental Justice Atlas. Our framework represents a holistic approach that integrates interdisciplinary literature from different disciplines. We discuss the ambivalent effects of x-shoring across space, scale, and time, principles for navigating the tensions that arise, and outline research avenues for a thorough exploration of the geography of x-shoring in the CE and beyond. Because of the ambivalence of these processes, we conclude that research must embrace the complexity of these developments by employing integrative, multi-scalar approaches that empower local agency.

Keywords: global production networks; global value chains; trade-offs; circular economy; anticipation (search for similar items in EconPapers)
JEL-codes: F63 F64 (search for similar items in EconPapers)
Pages: 36 pages
Date: 2024-08-09
New Economics Papers: this item is included in nep-ino, nep-int, nep-tid and nep-ure
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