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An automaker may want to establish manufacturing plants in various regions to reduce production and shipping costs, allowing for more efficient logistics. Diversifying locations can also help mitigate risks associated with supply chain disruptions, geopolitical issues, and trade tariffs. Additionally, regional plants can enable the company to better cater to local market demands and preferences, enhancing competitiveness. Lastly, having a global manufacturing footprint can improve brand presence and responsiveness in different markets.

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