Evaluate nearshoring markets across five weighted risk dimensions. Scores calculate in real time — your composite Country Risk Score and tier rating update instantly as you complete the assessment.
Use this reference matrix to inform your scores below. This matrix shows RC2’s baseline assessment of key nearshoring markets across the same dimensions you are scoring.
| Country | Trade Framework | Labor Cost | Infrastructure | Political Stability | WRAP Certification Base | Overall Readiness |
|---|---|---|---|---|---|---|
| Mexico | USMCA | Medium-High | Strong | Moderate | Strong | High |
| Honduras | CAFTA-DR | Low | Moderate | Moderate | Strong | High |
| Guatemala | CAFTA-DR | Low | Moderate | Stable | Growing | High |
| El Salvador | CAFTA-DR | Low | Good | Moderate | Strong | High |
| Colombia | US-Colombia FTA | Low-Medium | Moderate | Stable | Developing | Medium |
| Costa Rica | CAFTA-DR | Medium | Strong | Stable | Developing | Medium |
| Nicaragua | CAFTA-DR | Very Low | Limited | High Risk | Limited | High Risk |
| Peru | US-Peru FTA | Low-Medium | Moderate | Moderate | Minimal | Medium |
Sources: World Bank LPI 2024 · WRAP Registry 2024 · USTR Trade Agreements 2025 · RC2 Consulting Analysis
| Risk Factor | What to Evaluate | Score (1–5) |
Weight | Weighted | Notes / Evidence |
|---|---|---|---|---|---|
| Dimension 1 — Political Stability & Regulatory Environment | Max: 35 | |||||
| Government stability | Recent elections, transitions, constitutional changes | ×2 | — | ||
| Rule of law & contracts | Judicial independence, contract enforceability | ×2 | — | ||
| Corruption & bribery risk | Transparency Intl. CPI score for this country | ×2 | — | ||
| Foreign investment climate | FDI openness, profit repatriation, property rights | ×1 | — | ||
| Dimension 1 Subtotal | — / 35 | ||||
| Dimension 2 — Trade Policy & Tariff Access | Max: 45 | |||||
| Trade agreement access | CAFTA-DR, USMCA, or FTA applicability to products | ×3 | — | ||
| Rules of origin feasibility | Yarn-forward / fiber-forward requirements achievable | ×2 | — | ||
| Trade policy stability | Likelihood of agreement renegotiation or disruption | ×2 | — | ||
| Export compliance risk | Sanctions, OFAC flags, buyer hesitancy indicators | ×2 | — | ||
| Dimension 2 Subtotal | — / 45 | ||||
| Dimension 3 — Logistics & Infrastructure | Max: 30 | |||||
| Port access & capacity | Port quality, congestion, container handling | ×2 | — | ||
| Road & inland transport | Road conditions port → production zones | ×2 | — | ||
| Freight & customs expertise | Local logistics provider depth and service quality | ×1 | — | ||
| Energy & utility reliability | Power stability, water access, telecommunications | ×1 | — | ||
| Dimension 3 Subtotal | — / 30 | ||||
| Dimension 4 — Labor Market & Workforce | Max: 35 | |||||
| Labor cost competitiveness | Wage levels vs. current sourcing market | ×2 | — | ||
| Skilled labor availability | Technical skills depth for your production type | ×2 | — | ||
| Workforce turnover risk | Industry turnover rates, retention environment | ×2 | — | ||
| Currency stability | Local currency volatility vs. USD, prior 24 months | ×1 | — | ||
| Dimension 4 Subtotal | — / 35 | ||||
| Dimension 5 — Social Compliance Readiness | Max: 30 | |||||
| WRAP certification base | Number of certified facilities available in country | ×2 | — | ||
| Local compliance infrastructure | WRAP monitors, consultants, audit capacity available | ×1 | — | ||
| Labor law enforcement | Strength of government labor inspection system | ×2 | — | ||
| Environmental compliance | Regulation strength and enforcement track record | ×1 | — | ||
| Dimension 5 Subtotal | — / 30 | ||||
| COMPOSITE COUNTRY RISK SCORE | — / 175 | See tier interpretation below | |||
Analyst Recommendation & Key Risk Notes
RC2 Consulting builds company-specific country risk analyses using primary market intelligence and sourcing data.
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