June 3, 2025 - We polled over 500 manufacturing and distribution business leaders to understand the trends, opportunities, and challenges this sector is experiencing today, including supply chain and logistics. Our 2025 Manufacturing and Distribution Pulse Survey Report reveals important factors affecting product sourcing, cost management, and reshoring and how leaders are proactively responding to preserve and generate revenue.

Product Sourcing

In past years’ surveys, we learned that supply chain challenges led to companies bringing manufacturing home and/or closer to the customer through reshoring and other measures. Today, we see the effects of those trends in the numbers. Almost two-thirds of this year’s respondents (62%) source the majority of their products from North America, while Asia-Pacific (APAC) comes in second with 11%. The effect of tariffs on these and other key trends remains unseen. Our full report takes a deeper look at tariff risks and tariff mitigation plans for manufacturers and distributors.

Product Cost Management

The most common ways survey respondents manage product costs are clear and consistent. The top five are bunched in a tight band of actions (survey respondents were able to make multiple selections):

• Managing more product ourselves – 50%
• Outsourcing more manufacturing to third parties – 43%
• Relocating sourcing closer to customers – 43%
• Renegotiating forward contracts for purchases – 43%
• Renegotiating freight contracts – 40%
• Raising sale prices – 39%

Reshoring Challenges

Reshoring dominated agendas at the height of COVID-induced supply chain challenges, but it seems like the trend continues today. As it does, so do many of the common challenges to reshoring that previous surveys revealed. At 52% each, meaningful tax incentives and cost of U.S. labor top the hurdles to reshoring in 2025, followed by capital investment costs and lack of skilled labor.

Citrin Cooperman’s Manufacturing and Distribution Pulse Survey Report

Citrin Cooperman’s Manufacturing and Distribution Industry Practice strives to provide our clients with insights that will help them continue to grow and succeed in today’s quickly evolving environment. Our sixth annual Manufacturing and Distribution Pulse Survey Report aggregates insights from manufacturers and distributors in driving future growth, managing through instability, and improving their strategic business planning. Access our report to discover timely insights into the opportunities and challenges facing manufacturers and distributors today.

Access the 2025 Manufacturing and Distribution Pulse Survey Report