How China’s Role in Global Supply Chains Is Evolving

IEEPA Refund Calculator Investor Relationship Financial Overview Company Overview Financial Overview Corporate Governance Overview Board of Directors Committees Internal Audit Regulations Shareholder’s Insights Shareholder’s Insights Shareholder’s Report Investor Contact Investor FAQ Contact MyDimerco English繁中简中 Home » How China’s Role in Global Supply Chains Is EvolvingHow China’s Role in Global Supply Chains Is Evolving by Dimerco | Jul 13, 2026 Mike King, host of The Freight Buyers’ Club, sat down with Kathy Liu, Vice President of Global Sales and Marketing at Dimerco Express Group, at Dimerco’s Shanghai headquarters to discuss the trends shaping today’s freight market. Their discussion covered tariffs, geopolitical disruption, AI-driven demand and changing manufacturing strategies, all of which are influencing how businesses move goods around the world. Manufacturing is expanding into new markets across Asia and beyond, yet China continues to play a central role in supply chain decision-making. The biggest changes are not simply where products are made, but how freight moves, where investment is flowing and how businesses are adapting to an increasingly complex global market. Peak Season Arrived Early, but It May Finish Early Too Ocean freight has experienced another period of rising rates, but according to Kathy, there is no single reason behind the increase. The ongoing conflict in the Middle East has reduced available vessel capacity and contributed to equipment shortages across parts of Asia. Uncertainty surrounding tariff deadlines has also encouraged many shippers to move cargo earlier than planned rather than risk higher costs later in the year. Together, these factors have created what appears to be an early peak season across major trade lanes. Interestingly, Kathy believes the surge may not last as long as many expect. Rather than reflecting stronger consumer demand, much of today’s freight volume represents shipments that would normally move later in the year. If that proves true, demand could soften earlier than a traditional peak season. For freight buyers, this is another reminder that historical shipping patterns are becoming less reliable. Market conditions are increasingly shaped by geopolitical events, policy changes, and disruptions that can quickly alter supply and demand. AI Is Reshaping Air Cargo Demand While ocean freight is responding to disruption, air freight is being transformed by a different force. The rapid expansion of artificial intelligence infrastructure has become one of the strongest demand drivers in today’s air cargo market. According to Kathy, shipments supporting AI data centres continue to grow, particularly on the Taiwan to United States trade lane, where available capacity remains tight and freight rates continue to stay high. She expects this demand to continue for at least the next three to five years rather than being a short-term spike. One of the most interesting insights from the discussion was how AI is beginning to influence manufacturing itself. Many of the same electronic components used in laptops and personal computers are also required for AI servers and data centre equipment. Because AI projects command higher margins, manufacturers are increasingly prioritising those orders. The result could be tighter component availability across the broader technology sector, creating supply challenges that extend well beyond the freight market. China Continues to Drive Supply Chain Decisions Manufacturing continues to expand into countries such as Vietnam, Mexico and other emerging markets, leading many to conclude that production is moving away from China. Kathy offered a more nuanced perspective. While production is becoming more geographically diverse, many of the companies establishing factories overseas remain Chinese businesses. Strategic decisions, supplier relationships and freight planning are still frequently managed from headquarters in China. This helps explain why China continues to play such an important role in global logistics despite changes in manufacturing footprints. Chinese businesses are also expanding into new markets across Southeast Asia, Latin America and Africa, creating new trade lanes while maintaining strong commercial links back to China. Rather than replacing China, many companies are building more diversified regional supply chains with China continuing to serve as a key hub for procurement, manufacturing expertise and logistics coordination. Flexibility Is Becoming Every Shipper’s Competitive Advantage One of Kathy’s strongest messages was the importance of remaining flexible. Traditional assumptions about peak seasons, trade flows and transport capacity no longer apply as consistently as they once did. Unexpected events can quickly reshape global shipping patterns, requiring businesses to adapt faster than ever before. That means freight buyers need greater visibility into market conditions, multiple routing options and logistics partners who understand both local markets and global trade dynamics. For companies sourcing across Asia, success is no longer simply about securing capacity. It is about making informed decisions as market conditions continue to evolve. What Freight Buyers Should Watch Next The challenges discussed throughout this conversation are already influencing how freight buyers plan shipments, manage capacity and make supply chain decisions. Subscribe to The Freight Buyer’s Club for more conversations with logistics experts and industry leaders discussing the trends shaping global trade and supply chains. If your business is navigating changing freight markets or reviewing its supply chain strategy, get in touch with a Dimerco specialist to discuss how our experts can help you build a more resilient and responsive supply chain. Post Tags: Air Freight | China | Supply Chain We use cookies on our website to give you the most relevant experience by remembering your preferences and repeat visits. By clicking “Accept”, you consent to the use of ALL the cookies.ACCEPT Cookie settingsManage consent Close Privacy Overview This website uses cookies to improve your experience while you navigate through the website. Out of these, the cookies that are categorized as necessary are stored on your browser as they are essential for the working of basic functionalities of the website. We also use third-party cookies that help us analyze and understand how you use this website. These cookies will be stored in your browser only with your consent. You also have the option to opt-out of these cookies. 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