As we move into 2025, supply chain professionals face a dynamic landscape shaped by emerging challenges and transformative opportunities. To stay ahead, companies must focus on proactive planning and resilient strategies to overcome potential disruptions and capitalize on new advancements.
Here are five key trends and challenges shaping the supply chain in 2025—and how you can prepare.
Potential ILA Labor Disruptions in Q1
The International Longshoremen's Association (ILA) and U.S. Maritime Alliance (USMX) are in contentious contract negotiations, with automation at ports being a significant point of contention. The current contract expires on January 15, 2025, and a potential labor strike could disrupt East and Gulf Coast ports, delaying cargo movement and creating bottlenecks across the supply chain.
What You Can Do:
- Diversify your port usage to include West Coast or inland intermodal hubs.
- Accelerate imports ahead of the January 15 deadline to stockpile essential inventory.
- Work with logistics providers to develop contingency plans for alternative routings and transportation solutions.
Impact of Tariffs and Potential Trade Wars
The new presidential administration has proposed tariffs on goods imported from key trading partners like China, Canada, and Mexico. These changes could lead to higher costs, supply chain disruptions, and a reevaluation of sourcing strategies for businesses dependent on international trade.
What You Can Do:
- Lock in fixed rates on international shipments to manage cost fluctuations.
- Evaluate nearshoring options to reduce reliance on overseas suppliers.
- Partner with customs clearance and international logistics providers to navigate new tariff structures efficiently.
Changes to LTL Classifications
The 2025 updates to the NMFC classification system will impact how LTL freight is priced and handled. These changes may lead to reclassification of goods, adjusted shipping costs, and a need for shippers to reassess their current processes.
What You Can Do:
- Collaborate with logistics partners to review and align your freight classifications.
- Leverage technology solutions to streamline shipment quoting and planning under the new NMFC standards.
- Stay informed about industry-specific impacts of the updates.
Increased AI Integration
AI continues to reshape supply chain management, enabling better forecasting, route optimization, and inventory planning. However, companies must address governance and talent gaps to fully harness AI’s potential while ensuring ethical and effective deployment.
What You Can Do:
- Invest in AI tools for enhanced supply chain visibility, demand planning, and operational efficiency.
- Develop internal policies and training to guide responsible AI adoption.
- Partner with providers that integrate AI into their logistics platforms to deliver cutting-edge services.
Cybersecurity Threats
With technology now central to supply chain operations, cybersecurity risks have become more pronounced. Supply chain attacks can disrupt entire networks, compromise sensitive data, and damage reputations.
What You Can Do:
- Conduct regular risk assessments and strengthen IT security infrastructure.
- Educate employees on identifying and mitigating phishing attempts and other cyber threats.
- Work with partners who prioritize cybersecurity and can provide secure systems for data sharing and visibility.
Planning for Success in 2025
The challenges on the horizon for 2025 underscore the critical need for proactive planning, resilient strategies, and integrated supply chain solutions. Whether it's navigating labor disruptions, adapting to evolving trade policies, or leveraging emerging technologies, success will hinge on the ability to stay agile and forward-thinking.
Averitt’s Power of One approach brings together five integrated service units—LTL, Truckload, Distribution & Fulfillment, Dedicated, and Integrated & Global Logistics—to provide seamless, end-to-end solutions. By aligning these services, we empower shippers to build more resilient supply chains that can adapt to uncertainty and capitalize on new opportunities.
Are you ready to build a stronger supply chain in 2025?
Contact us today to learn how our integrated solutions can help you stay ahead with confidence and flexibility.
