Navigating a Dynamic World: Experts Discuss Geopolitical Tensions and Changing Supply Chain Dynamics

In a recent panel discussion—Global Trade in A Complex Geopolitical Landscape: Navigating a Dynamic World—hosted by FAU College of Business, supply chain and logistics experts delved into the challenges posed by geopolitical tensions and shifting supply chain forces in global trade along with the complexities faced by businesses operating in the current environment.

The event, moderated by Dr. Steven Carnovale, Associate Professor and Director of FAU’s Master of Supply Chain Management program, elicited insights from the guest panelists:

• Alan Baer, CEO of OL-USA, has over 40 years of experience in logistics, and a seamless door-to-door service for any type of cargo – 500 agents in over 41 countries.
• Peter Quinter, Shareholder and Chair of the U.S. Customs and International Trade law firm of Gunster, Yoakley & Stewart, one of the largest firms in Florida. Peter is Board Certified in International Law by the Florida Bar, ranked among the best international trade lawyers in the world.
• Omaira Diaz, VP of Operations International Materials (IMI) LLC, providing strategic oversight and management, trade analysis and voyage optimization to ensure smooth execution of the company’s trade deals. IMI is one of the world's leading independent bulk raw material trading companies with over $2 billion in revenue.

The conversation centered on three topics: geopolitical tensions and shifting balances of power that have emerged across the global trade landscape; the impacts of these shifts on supply chains along with insourcing, outsourcing and near shoring; and navigating into the future of logistics and supply chain operations.

The conversation reiterated the effects of trade wars and continually escalating tactics on price hikes and material shortages, in turn forcing supply chains to operate under duress and threatening prosperity and freedom. China, still recognized as a major manufacturing hub, continues to influence international trade, and amidst rising tensions and imposed tariffs, companies have been observed to seek out alternative manufacturing locations in countries like Vietnam, Malaysia, Indonesia, and Thailand. Panelists emphasized the need to understand the changing sources of supply and diversifying supply chains to mitigate risks. The discussion noted a growing trend in near sourcing—moving production closer to the target market, such as Mexico and Canada.

Businesses were encouraged to stay aware of evolving trade policies and geopolitical developments to adapt their strategies effectively. For firms to remain competitive and navigate the evolving environment, logistics and supply chain professionals must be equipped with the necessary skills and tools to engage with industry partners with diverse backgrounds. The need is for agility and proactive engagement with new partners in navigating this dynamic landscape. The panel discussion highlighted the importance of developing language skills and cultural understanding to foster successful international relationships.

How can firms position themselves for success amidst geopolitical tensions and changing supply chain dynamics? By staying informed, building resilient supply chains, and embracing cultural diversity. 

-FAU-