Nearly half (48%) of global supply chain leaders identified tariffs and trade barriers as their top challenge in 2024. The 2024 Supply Chain Intelligence Report, conducted by Descartes Systems Group in partnership with SAPIO Research, surveyed 978 leaders from companies of all sizes and industries. Other major concerns included supply chain disruptions (45%) and geopolitical instability (41%). The report highlights how logistics professionals are grappling with increasingly complex global challenges.

The study found that concerns over tariffs affect businesses of all sizes, from small firms with fewer than 250 employees to large companies with over 50,000 employees. Regardless of size, tariffs and trade barriers emerged as the most pressing issue.

“Evolving tariffs and trade policies are one of a number of complex issues requiring organizations to build more resilience into their supply chains through compliance, technology, and strategic planning,” said Jackson Wood, Director of Industry Strategy at Descartes.

The survey also showed how trade challenges vary depending on factors like business growth. Companies expecting over 15% growth expressed greater concern (51%) about tariffs than those with limited or no growth (43%). The report discussed the importance of robust supply chain analytics and technology-driven solutions to help companies navigate frequent tariff changes, identify alternative markets, and optimize sourcing strategies.

“With the potential for the incoming U.S. administration to impose new and additional tariffs on a wide variety of goods and countries of origin, U.S. importers may need to significantly re-engineer their sourcing strategies to mitigate potentially higher costs,” Wood added.