China plus one strategy: diversifying without leaving China
A China plus one strategy keeps some supply in China and adds a second country to reduce dependence on one source. This guide is for UK importers worried about concentration risk. It compares alternative countries and the trade-offs, and explains how we compare options on landed cost.
By Matt Buckley · Updated
Why businesses adopt China plus one
- Single-country dependency on critical products
- Exposure to trade remedies and changing tariffs
- Freight and lead-time volatility
- Customer or investor pressure on supply chain risk
Which countries to consider
- Vietnam. Furniture, textiles, footwear and electronics. See manufacturing in Vietnam.
- India. Textiles, engineered components and castings. See manufacturing in India.
- Turkey. Near-shore for textiles and metal products. See Turkey manufacturers.
- Eastern Europe and Mexico. For some engineered and near-market products.
How to do it well
- Start with critical, high-spend or single-source products
- Qualify the second source fully: audit, samples, trial orders
- Split volume so both suppliers stay engaged
- Check rules of origin; assembly alone may not change origin
- Compare landed cost, including any duty preferences
Where Caventis fits
We map single-source exposure, shortlist and audit second sources and manage the transition. See our China sourcing agent service and supply chain resilience guide.
Frequently asked questions
Does China plus one mean leaving China?
No. It means keeping China where it is the best option while adding a second qualified source elsewhere for resilience.
What is the best country for China plus one?
It depends on the product. Vietnam, India and Turkey are common choices, each with different strengths. Compare them on landed cost, capability and lead time for your category.
Further reading
- Check your goods meet the rules of origin: GOV.UK
- UK trade agreements with non-EU countries: GOV.UK
- Look up commodity codes, duty and VAT rates: GOV.UK
- UK trade in goods, country-by-commodity imports: Office for National Statistics
Related insights
More practical reading on procurement, cost and supply chain.
An illustrative project from brief to first shipment, with a landed cost comparison of China, Turkey and Portugal.
Write the specification, search well, tell factories from traders and compare on landed cost.
Estimate landed cost per unit with freight, insurance and duty, and import VAT shown separately.
Discuss your procurement priorities
Book an introductory call with Caventis to discuss your requirements.