Former President Donald Trump ‘s latest tariff threats have put the spotlight back on the reshoring trend , or the return of companies’ overseas operations to the United States. On Tuesday, Trump vowed to slap 100% tariffs on “every single car coming across the Mexican border” if he wins the election against Vice President Kamala Harris . His comments followed his threat on Monday to impose a 200% tariff on John Deere if the agricultural equipment maker moved production to Mexico. During the campaign, he has also said he will impose new tariffs on China . “The re-election of former president Trump could present a greater risk of higher tariffs than if Harris is elected, in our view, though admittedly it can be challenging for investors to predict what policies Trump ultimately may impose,” Barclays analyst Dan Levy wrote in a note on Tuesday. Trade will work regardless Yet, reshoring is the one macroeconomic trade that will work no matter who wins the White House, according to Societe Generale. The trend has grown in the United States in recent years due to government incentives, like the Chips and Science Act signed into law in 2022, and concerns about supply chain security . Also contributing to the phenomenon are Trump’s 2018 tariffs on China, according to Manish Kabra, Societe Generale’s head of U.S. equity strategy. Since that time, the share of China imports has “dropped dramatically,” he said in a note published on Thursday. Last year, there were 287,000 reshoring and foreign direct investment job announcements, the second-highest year on record, according to the Reshoring Initiative . Kabra analyzed the proposed policies of both Trump and Harris and found reshoring was one area where the two campaigns overlapped. “One trade that has worked under both of the last two administrations is our US Reshoring ‘beneficiary’ equities,” Kabra wrote. “This trade should continue to perform at least until the share of China imports comes down substantially, we believe.” Here are some of the names that made his list of beneficiaries from reshoring. Quanta Services , Packaging Corporation of America and Cummins have all rallied more than 30% so far this year. Quanta Services delivers infrastructure solutions for industries such as utility and renewable energy. Packaging Corporation of America produces containerboard products and Cummins manufactures engines and power-generation products. Rockwell Automation , on the other hand, has lost about 16% year to date….
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