Euro-Area Firms Shift Operations on Geopolitics Worries, ECB Finds

Large corporations in the euro area are relocating production across the globe more actively as geopolitical risks rise, according to a survey by the European Central Bank.

While more traditional motivations like lowering expenses are still driving firms to go outside the European Union, increased uncertainty was cited as a reason for recent or planned moves into the bloc, the ECB said in a research article published Monday. Activity in both directions is expected to pick up over the next five years.