Great question. My own reactions over the past months have been something along the lines of (1) "Not the best execution, but maybe we'll see some positive change..." -> (2) "Cool, looks like things may actually change!" -> (3) "Wait a minute, I don't trust that this is real... so what's the end game??"
If the trade war concludes in a deal, more realistically there will likely be some improvement, while abuses in the national interest will also continue.
Let's assume the worst case scenario however, that there is an expectation and result of zero improvement. The goal would be to push supply chains out of China by increasing political concerns and costs. Business hates chaos and risk in the supply chain. Whether some of that shift ends up being back to North America and Europe, or all of it goes to other nations in Asia that will never be the potential threat that China is, it's all a net gain strategically for the US and Europe.
Indonesia + Vietnam + Bangladesh + Philippines = ~620 million people.
Brazil + Mexico have 340 million (larger than the US). India has 1.3 billion. Nigeria has 190 million people.
There are plenty of other places to consider when it comes to allocating investment for overseas manufacturing (depending on what you're making). It will take time and cost money to alter supply chains, however that is always an inevitability. Every few decades supply chains get remade due to cost changes, political issues, and so on.
