Jane Edwards
An annual report from interos.ai, an artificial intelligence risk intelligence company, predicts that geopolitical tensions in Eastern Europe, the Red Sea and the South China Sea could lead to economic damages worth up to $1 trillion.
In a Jan. 14 news release, the company said its data shows that over 481 companies in the S&P 500 index, especially those in agriculture, retail, building and civil engineering and computer manufacturing industries, have direct ties to those high-risk regions.
Climate Disruptions
According to interos.ai’s inaugural 2025 Predictions Report, hurricanes, wildfires and other catastrophic weather events in 2025 are expected to strain supply chains and disrupt 20 million businesses worldwide.
Other Critical Supply Chain Risks in 2025
The report also cited the risks posed by cyberthreats to physical infrastructure, such as satellite hacking and undersea cable disruptions, and AI security concerns to global supply chains.
According to the company, President Trump’s proposed 25 percent tariffs on China, Canada, and Mexico could disrupt the agriculture, automotive and consumer electronics industries and reshape trade strategies in North America.
“This risk looms larger than a CSO or a procurement problem. Supply chain risk management is a CEO dilemma,” said Ted Krantz, CEO of interos.ai.
“Businesses must evolve from in-house techniques and reactive risk management to a proactive approach that prioritizes Resilience and incorporates both first party and market data perspective to fuel AI-driven actionability,” added Krantz.
