**London**: The 2025 J.S. Held Global Risk Report reveals that supply chain disruptions are a significant threat to global businesses, costing an estimated $184 billion annually. The report highlights the increasing demand for transparency amid geopolitical instability, climate change, and other risks reshaping the business landscape.
Supply chain disruptions have emerged as a critical issue for global businesses, costing an estimated $184 billion annually, according to Swiss Re. A recent survey conducted by Maersk involving 2,000 European shipping customers showed that a staggering 76% experienced such disruptions in the past year, with 22% reporting over 20 significant incidents. These alarming statistics are detailed in the 2025 J.S. Held Global Risk Report, which highlights the vulnerabilities businesses face in an increasingly complex and volatile supply chain environment.
The report identifies various factors contributing to these disruptions, including climate change, natural disasters, cyberattacks, fraud, and geopolitical instability, with ongoing conflicts such as the Russia-Ukraine war and tensions in the Middle East exacerbating the situation. The traditional notion that companies can shift blame onto suppliers without facing scrutiny is fading as interconnected supply chains become more susceptible to diverse risks.
There is an emerging demand from consumers and governments for greater transparency regarding supply chains, which has led to new regulations, particularly in the European Union. These laws are focused on enforcing compliance and oversight regarding how products are sourced and produced. “As consumers, governments, and corporations acknowledge the effects of supply chain risks, transparency and due diligence will become more critical to the internal compliance structure of global businesses,” said Andrea Korney, J.S. Held’s Vice President of Sustainability, in remarks featured in the report.
The 2025 Global Risk Report offers crucial insights into the key risks reshaping supply chain resilience, including:
- Geopolitical instability
- Natural disasters and climate science
- Maritime route disruptions
- Regulatory fragmentation
- Cybersecurity threats
- Trade and tariff challenges
- Dependency on critical minerals
- Financial risks and fraud
John Peiserich, an environmental risk and compliance expert at J.S. Held, noted the imperative for businesses to proactively address these risks: “These risks are no longer hypothetical—they are actively reshaping the business landscape. Organizations that fail to anticipate and mitigate these challenges risk operational disruptions, financial losses, and reputational damage.”
The insights from the report underscore an evolving power dynamic between customers and suppliers, as organisations strive to establish themselves as preferred partners by enhancing collaboration and transparency within the supply chain. As companies grapple with the implications of recent disruptions, managing supply shortages and fostering closer relationships with their suppliers will be pivotal in navigating future challenges.
The comprehensive analysis covers not only supply chain risk but also other significant areas such as sustainability, the rise of cryptocurrencies, AI and data regulations, and strategies for managing cyber risks. The report serves as a vital resource for businesses looking to build resilience amidst ongoing uncertainties in the global economy.
Source: Noah Wire Services
