For many supply chain managers, 2026 has felt like a boxing match with prime Mike Tyson.
Every time we think the onslaught might be over, in comes another flurry of body shots. 2026 has been full of fireworks, and the news-cycle labyrinth has left many companies navigating increasingly complex situations.
But amongst the constant din of breaking news, several stories have caught our attention because of their massive impact. These topics have fundamentally changed how businesses’ supply chains operate, highlighting traps and opportunities along the way.
Without further ado, let’s dive into the stories that have shaped our year so far!
The world has been on pins and needles since February 28, as the U.S., Iran, Israel, and Lebanon trade blows. For more than 100 days, the conflict has been simmering, but could a resolution be on the way?
For several months, the situation has vacillated between military strikes, ceasefires, and peace talks. But in an about-face move, both Iran and the U.S. pointed to a new memorandum of understanding. The two sides signed the agreement on June 19, opening the door for a larger peace deal.
However, the effects so far have been immediate and severe. Companies today face several crippling problems, including:
The question now becomes whether the agreement will hold. Although the Strait of Hormuz is open, the situation is tense.
When prices rise, companies look for cost-effective options to reduce operating expenses. In the case of the Iran conflict, businesses have a few levers they can pull.
Good supply chains maintain strong partnerships throughout the network. That way, if trouble pops up, the company can quickly pivot while maintaining its processes.
“What we’re seeing in 2026 is a shift in how companies think about their supply chains,” KrisTech’s Supply Chain Director, Marcus Tagliaferri, said. “The focus is no longer just on finding the lowest cost option. More companies are building flexibility into their networks and developing backup plans because the cost of a disruption can far outweigh the cost of being prepared.”
When the Strait of Hormuz closed, the world felt the sting immediately. The strait is a critical component of the oil industry, with about 20% of global oil moving through the area. When it closed, gas and oil prices spiked.
To compensate, companies with strong supply chains relied on nearby partners and alternate shipping routes for materials and products. Shorter routes generally have lower shipping costs while avoiding delays associated with longer routes.
Another option for shippers has been to rely more on multimodal transport. One example might be to switch from an all-trucking route to a truck-train-truck route. Shipping by train is generally much cheaper than shipping by truck, especially over long distances. According to Steel Wheel Logistics, rail only costs about 2-4 cents per ton-mile, while trucks cost 8-20 cents.
In the early weeks of the conflict, some companies chose to eat the higher costs they paid for oil and its derivatives. However, they eventually increased prices to compensate for higher sourcing, production, and shipping costs.
Plus, ongoing disputes, especially in the Middle East, could lead to long-term shipping changes. For example, it may be harder to find shippers in certain regions or those willing to operate in seemingly dangerous areas. In response, some major carriers are suspending service in certain regions.
Because fewer shippers operate in those areas, there are fewer openings available, increasing competition for limited space. And as more ships flood safer routes, the influx could create shipping delays and congestion.
“As risk increases in certain regions, capacity tightens quickly,” Tagliaferri said. “We’re seeing that strong carrier relationships and a diversified transportation network are just as important as pricing when it comes to securing reliable transportation. The companies that are best positioned are the ones that have options and can pivot when conditions change.”
When President Donald Trump introduced his Liberation Day global tariffs in April 2025, it sent immediate shockwaves around the world.
Of course, a lot can change in a year, and the president’s tariffs aren’t immune. In February 2026, the Supreme Court ruled that Trump’s Liberation Day tariffs were unconstitutional.
Soon after, Trump responded with new Section 122 Tariffs of 10%, with some tweaks:
It’s also worth remembering that these blanket tariffs expire after 150 days, after which Congress must approve them.
Although tariffs tack on added expenses for importers and consumers, it’s only one piece of the pie.
The constant back-and-forth series of tariff showdowns with nearly every global U.S. trading partner is hard to keep up with. Businesses may not always know what they’re planning against because tariffs may be here one day, altered the next day, and removed the next. The carousel of changes has made it hard for businesses to forecast, plan shipments, and maintain stock controls.
U.S. trade relations with global partners have also struggled. Amid the uncertainty, some previously tight trading partners have branched out to secure deals with other countries. However, the threat of tariffs has brought several countries to the table to hammer out new trade deals.
In a shock to no one, artificial intelligence has become the topic du jour in today’s news cycle.
Companies large and small are jumping in feet first to implement AI wherever they can. But like anything in life, could there be too much of a good thing? Data centers are popping up all across the U.S. and globally to support the ongoing revolution.
But unmitigated data center construction isn’t always welcome, as municipalities and states have started fighting back against the projects. Their concerns lie not only in the electricity these facilities draw, but also in environmental impacts and water usage.
Artificial intelligence still needs work, but it has its business merits.
One of AI’s biggest selling points is its ability to analyze vast amounts of data in an instant. Savvy supply chain managers can use the system to forecast multiple plans simultaneously, optimize inventory, and even predict trends.
If companies can harness AI by feeding it good data and honing their requests, the technology could supercharge productivity. For smaller companies, getting more work done without adding staff can drastically improve the bottom line.
Of course, AI isn’t all sunshine and buttercups, either. Even the most sophisticated systems hallucinate occasionally, making up data and screwing up their own inferences. Managing highly technical AI programs requires specialized workers, meaning companies either must reskill teams or hire expensive, qualified talent.
Americans don’t only have to worry about oil, gas, and diesel prices, but electricity, too.
Although it’d be nice to pin higher electricity costs on a singular issue, the problem is far more complex. The truth is, electricity rates are rising for several reasons, including:
Adding to the strain is an ongoing transformer backlog, leading to higher costs, delays, and grid instability.
Meanwhile, efforts to improve the grid have fallen on hard times as well. Clean energy sources comprise the majority of new power added to the grid, but face years-long interconnection delays. These delays mean new projects can’t come online, leaving potential power sitting stagnant. The country also faces the astronomical cost associated with a widespread electrical grid overhaul.
When energy prices rise, consumers tend to feel the squeeze the hardest, especially the most vulnerable in society.
After years of stable usage, electricity use is growing by a large margin. Unfortunately, this year’s difficult, cold winter, combined with higher delivery rates and supply costs, compounds problems for many. Unexpected price hikes make it harder for low-income and fixed-income end users to keep up. Meanwhile, those who can afford the hikes still have to adjust their spending.
Businesses are no different; they’re just operating on a much larger scale. To stay in the margins, companies must find ways to work higher energy costs into their plans. If they don’t, it eventually leads to lower profit margins, higher operation costs, and even internal production shifts to off-peak hours.
The Strait of Hormuz has been the main story in 2026, but it’s only the latest diversion for shippers.
Recent Middle East conflicts have limited shipments through the Strait of Hormuz, while the Red Sea has seen Houthi attacks for several years. At the same time, droughts have caused problems at the Panama Canal, forcing large ships in particular to find other routes.
Geopolitical disputes and other conflicts are nothing new, but they are a massive problem for a globalized shipping system. Companies must find alternate routes, which are often slower and more expensive, and require much more planning to ensure products arrive on time.
Though this seems like bad news, contingency plans can improve operations immensely. When shippers regularly update and refine their shipping methods, they can stumble across creative or less expensive routes. The flexibility also opens the door for previously unconsidered intermodal methods and new partners to help move products.
But contingencies go deeper than finding a new route when things go sideways. Investing in real-time monitoring systems helps supply chain managers quickly spot issues at any point in the network. Monitoring systems cover everything from inventory levels and shipping methods to predictive analytics, providing visibility into the whole supply chain. When done well, companies often see better efficiency metrics, reduced costs, and happier customers.
The news never stops, and neither should we.
Companies that feel comfortable with their supply chain systems might consider sitting back and enjoying what they’ve created. But our world is a never-ending series of new events, and every headline moves the needle one way or the other.
As they say in sports, the best defense is a good offense. Staying in front of global events and understanding their impacts makes it easier to forge partnerships and find solutions. Being reactive, especially during a global event, is a recipe for disaster.
“The companies that will come out ahead in 2026 are the ones that recognize disruption is part of doing business, not the exception,” Tagliaferri said. “Success is no longer about operating in a perfect environment. It’s about having the flexibility, strong partnerships, and contingency plans in place to adapt quickly when conditions change.”
And with six months to go in an increasingly topsy-turvy year, there’s still more news to make.