The Rise of Nearshore Technical Talent in Europe

Nearshoring Talent in Europe

Overview

Europe is currently facing one of the most significant technical talent challenges in decades.

Accelerated digitalisation, the energy transition, and industrial automation have created a demand that far exceeds the available supply. Engineering, energy, industrial and technology companies are all competing for the same people and the talent shortage has become structural.

According to the European Commission, more than 70% of companies report difficulties in recruiting STEM (Science, Technology, Engineering and Mathematics) profiles. Depending on strong technological skills to stay competitive, Europe now faces a talent gap that is adding pressure across the continent.

This context has created space for a model that is no longer a trend but a strategic response: technical nearshoring.

Nearshoring: From Trend to Strategy

Nearshoring is no longer just a trend; it grew because it solves four major challenges for engineering and technology companies. First, working within aligned time zones removes unnecessary delays and makes communication more direct. Then, cultural proximity supports smoother collaboration, fewer misunderstandings, and a more natural way of working between teams.

On top of that, it offers the right balance between technical quality and competitive costs, allowing companies to access high-level expertise without the risks or expenses of more distant markets. And finally, this closeness accelerates time-to-market: decisions are made faster, issues are solved in real time, and projects move forward with far greater agility. That’s why nearshoring didn’t just grow — it became a strategic advantage.

Read: Nearshoring: What It is and How It Differs from Offshoring and Outsourcing

Why Southern Europe Is Leading the Shift

Nearshoring has become a structural shift in global business and Portugal is emerging as one of Europe’s strongest hubs. Ranked among the top nearshore destinations in Savills’ Nearshoring Index 2024, Portugal combines stability, competitive costs, and a strategic location with access to Europe, Africa, and the Americas.

The country stands out for its solid engineering foundations, collaborative work culture, and high English proficiency, making communication and technical delivery smoother for international partners. Talent availability is also a major driver: in the 2022/2023 academic year, 27.4% of Portuguese graduates came from STEM fields, reinforcing Portugal’s position as a reliable source of specialised expertise.

Together, these factors place Portugal and Southern Europe at the centre of Europe’s nearshore transformation.

Read: Why Portugal is Becoming Europe’s Nearshoring Engineering Hub

Advannor’s Perspective: Engineering Without Borders

Nearshoring is reshaping the way companies build and scale their operations. Instead of managing dispersed teams across distant time zones, organisations are increasingly choosing partners that work in closer geographic and cultural proximity, creating a more seamless operational environment. When collaboration happens in real time, communication becomes more accurate, decisions are made with greater confidence, and projects progress without the friction typically associated with offshoring.

This shift is driven by performance, not trend. By operating with teams that share working rhythms, expectations and technical standards, companies gain a level of stability that supports continuous delivery even in fast-paced or highly regulated industries. The benefits become visible across the entire delivery chain: fewer delays, clearer workflows, and a more controlled project lifecycle. In practice, nearshoring enhances efficiency and ensures that capabilities scale at the same speed as business demand.

It is within this landscape that Advannor positions itself as a trusted engineering and technology partner. As a Portuguese company supporting global organisations with specialised, flexible and fully integrated teams, we operate from one of Europe’s strongest nearshore hubs, offering geographic proximity, cultural alignment and highly skilled technical talent. Check out all of our services.

Our nearshore model enables fast-scaling teams, real-time communication and seamless integration with clients’ internal processes and methodologies. Operating within the same time zone as major European markets, we ensure faster decision-making, reduced risk and greater operational efficiency. Guided by a culture built on empathy, excellence, flexibility and communication, Advannor combines high-quality engineering with a human and collaborative approach.

Our engineering services cover the full value chain: industrial engineering and automation, software development, digitalisation, and on-site support for installation and commissioning. For companies looking to accelerate time-to-market, secure delivery continuity and maximise ROI, Advannor stands as a strategic partner, close enough to collaborate, strong enough to scale.

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