Exploring how UK businesses face constant trade disruptions in 2025 due to geopolitical instability, supply chain restructuring and rising tariffs
Global trade disruptions, enhanced by factors like climate events and geopolitical tensions, have exposed vulnerabilities in supply chains. Organisations must embrace diversified sourcing, regionalisation and nearshoring to help tackle delays, rising costs and material shortages.

As we navigate the uncertainty of 2025, President Donald Trump has imposed tariffs that alter global trade and supply chains, including a 25% import tax on all aluminium and steel entering the US. This has strained industries that rely on these materials, such as construction and automotive.

There is also a 25% tariff on goods from Canada and Mexico and a doubled supplementary tariff on Chinese imports. China’s response of adding tariffs on U.S. energy and agricultural exports has catalysed greater costs and tensions for businesses.

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However, the UK may avoid the impact of these trade tensions. Prime Minister Keir Starmer and President Donald Trump recently met to discuss a potential US- UK trade deal.

Ongoing tensions throughout the Red Sea continue to add to the unpredictability of the global landscape. Houthi vowed to continue to target Israeli ships and any vessels that have indirect or direct ties to Israel (such as the UK and the U.S.). This is even though they indicated that the group would stop attacks on most vessels throughout the Red Sea.
According to the World Economic Forum’s latest Chief Economists Outlook, 93% of chief economists surveyed predict supply chain restructuring will disrupt trade patterns over the next three years and 56% suggest the global economy will be under pressure in 2025.

This instability has altered supply chains, increased production costs and added to inflated pressures worldwide.