Business, Feature, Freight News, Logistics

US Trade Policy Report Raises Questions

[ December 19, 2024   //   Gary G Burrows ]

OUTLOOK Report from Magaya

The global logistics industry may soon be faced with further disruption as U.S trade policy transitions to President-elect Trump and a new Congress in January.
Already, announcements of proposed tariffs and regulatory shifts are causing concern about their impact to global supply chains, said Magaya in releasing its 2025 U.S. Trade Policy Outlook Report.
The digital freight platform provider’s report suggests potential impacts and steps that can be taken if new U.S. trade policies go into effect:
• New Customs compliance requirements may add complexity and stricter requirements. Digital tools to automate customs compliance would simplify processing, add speed and accuracy and aid in avoiding costly delays and fines.
• Supply chain disruption and increased costs may require diversification of sourcing locations away from affected countries. Adjustments to logistics networks would be likely.
• Freight rate volatility may result, which would impact shippers’ budgets and pricing for forwarders. It would also be likely that alternative logistics modes, gateways, etc. would be necessary to control costs and address changing sourcing patterns.
• Added complexity and volatility may be addressed by logistics technology that offers greater efficiency, data-driven insights and support supply chain optimization.
• For example, managing rate complexity is a tedious, cumbersome task if handled using manual processes, such as spreadsheets. A rate management system is an effective way to streamline this process, improve productivity and data accuracy.
• Build strong, trusted carrier relationships to support changing capacity and service changes.
• With increased uncertainty, real-time tracking data is more valuable than ever – digital supply chain visibility capabilities are necessary to enhance logistics service performance and response.
As trade policies shift, navigating the complexities of compliance, logistics service solutions, efficiency, and cost management will impact supply chains and logistics networks.
Magaya’s Trade Policy Outlook Report raises questions that should be answered in preparation for this new trade policy environment. Additionally, the report outlines the role of technology for logistics service providers in preparing for potential trade policy changes and the value of digital solutions.
The full 2025 U.S. Trade Policy Outlook Report is available at https://bit.ly/3VJTQGT.

Tags: Magaya