THE WHAT? Reckitt is ramping up local production in the US and China to reduce its reliance on imports and safeguard its supply chain against potential trade conflicts. Key investments include a US$190 million factory in North Carolina for Mucinex production and a 300 million yuan (US$40.9 million) R&D center in Shanghai.

THE DETAILS The North Carolina factory, operational by 2027, will lower US imports to 25% of Reckitt’s local sales by producing Mucinex tablets and liquids domestically.

In China, Reckitt is expanding its Taicang factory to include condom production starting in 2026, and its new Shanghai R&D center will focus on products tailored to the local market.

As the US considers protectionist policies, with potential tariffs of up to 60% on Chinese imports, Reckitt’s strategy aims to reduce reliance on mono-sourcing while enhancing manufacturing flexibility.

Currently, 80% of Reckitt’s products sold in China are already manufactured locally, positioning the company well to meet consumer demand despite trade uncertainties.

THE WHY? Reckitt’s proactive investments reflect a strategic pivot to fortify its supply chain in response to geopolitical challenges.