A new report, Predictions Report for 2025, from interos.ai, reveals how geopolitical tensions, cyber threats, trade restrictions, climate disruptions, and the secure use of AI will impact organizations worldwide in the coming year.
The report noted the following critical risks to global supply chains in 2025 :
Triple Threat to Geopolitical Stability: Political unrest in Eastern Europe, the South China Sea, and the Red Sea could result in up to $1 trillion in economic damages, with interos.ai data showing over 481 companies in the S&P 500 directly linked to high-risk regions, especially those in agriculture, building and civil engineering, retail and computer manufacturing.
Cyber Attacks Go Physical: Beyond software, emerging threats to physical infrastructure, including undersea cable disruptions and satellite hacking are ripe for exploitation by the emerging axis of adversaries.
Trade Wars and Rising Inflation: President Trump's proposed 25% tariffs on China, Mexico and Canada and inflationary pressures stand to reshape North American trade strategies, with potential cost surges passed onto consumers, including the infamous "$100 avocado." Tariffs are poised to disrupt industries like automotive, agriculture, and consumer electronics, in particular.
Intensified Climate Change: Catastrophic weather events in 2025, such as hurricanes, wildfires and heatwaves, are expected to disrupt 20 million businesses and strain global supply chains.
Insecurity in the AI Supply Chain: Not just hacking but AI security risks, including data poisoning and model corruption, introduce unforeseen data challenges for organizations integrating AI into their operations.
"This risk looms larger than a CSO or a procurement problem," said Ted Krantz, CEO of interos.ai, in a statement."Supply chain risk management is a CEO dilemma. Businesses must evolve from in-house techniques and reactive risk management to a proactive approach that prioritizes resilience and incorporates both first party and market data perspective to fuel AI-driven actionability. "
The report emphasizes the importance of adopting integrated risk management strategies across cyber attacks, catastrophic weather events, ESG regulations, government restrictions, geopolitical instability, and financial solvencies to ensure continuity, compliance, and competitiveness against industry benchmarks.
"Supply chains are the bedrock of the global economy," Krantz continued. "But they can also bring the world to a screeching halt. Eliminating risk in supply chains should be one of the enterprise's strategic board charters in 2025."