Geopolitics in Supply Chain

2025 saw a seismic shift in the impact of geopolitics on Supply Chain. It was always present but it became far more magnified this year. Major changes in global trade and industrial policy had ripples that greatly impacted businesses and consumers. Nations mandated domestic sourcing and production while tariffs became a bigger disruption than most would have expected.

As supply chain professionals, we often talk about resilience, risk mitigation, and visibility - but these developments highlighted something deeper. The geopolitical dimension of supply chains is no longer theoretical - it’s operational. Some of my takeaways from this past year - geopolitical strategy influences sourcing decisions.

This isn’t just about tariffs or trade disputes - it’s about national and international industrial policy reshaping the architecture of where and how products get made. Diversification matters more than ever.

Companies reliant on specific regions or single suppliers for critical inputs now face heightened risk. Strategic diversification is a competitive differentiator. Visibility and agility are a must. When sourcing teams can see supplier risk early and have contingency playbooks ready, the organization can move faster and with more confidence.

Collaboration with government and industry partners is a must. Often the smartest supply chain strategies happen with policy shifts.

My takeaway? Think beyond optimization - think sovereignty, resilience, and strategic partnerships. In 2026 and beyond, supply chains will be shaped not just by markets but by policy and purpose.