Strengthening Supply Chain Resilience Amid Rising Costs

Kelsea Ansfield
Oct 10
3 min read

At Gain Consulting, we empower businesses to thrive in the face of supply chain challenges by leveraging expert insights and innovative strategies. The 2025 State of Logistics Report, unveiled by the Council of Supply Chain Management Professionals (CSCMP) in partnership with Penske Logistics and Kearney at the recent EDGE Supply Chain Conference, highlights a sector grappling with a $2.58 trillion spend in 2024—a 5.4% increase from 2023, accounting for 8.8% of U.S. GDP.

Presented on October 7, 2025, in Oxon Hill, Md., the report underscores the resilience of consumers and businesses amid a slowing economy, urging logistics leaders to prioritize adaptability. Here’s how these trends impact your operations and how we can guide you forward.

Navigating a Challenging Landscape

The report reveals an industry navigating "through the fog" of economic uncertainty, with U.S. growth projected to fall below last year’s pace yet avoiding a recession. Consumers continue spending despite weak sentiment, driving freight demand. Key insights include:

Rising Costs and Flattish Rates: Total logistics expenditures hit $2.58 trillion, up 5.4% year-over-year, while motor carrier spending declined 0.7%, signaling a market "shaking out" where carriers face rising costs and stagnant rates.
Tariff-Driven Uncertainty: The April 2 "Liberation Day" tariffs, combined with an uncertain demand recovery, have thickened the fog. Paul Bingham of S&P Global Market Intelligence warns of inflation peaking at 3.4% early next year—above the Fed’s 2% target—before easing by year-end, with potential relief from interest rate cuts and fiscal stimulus.
Resilience as a Necessity: Korhan Acar of Kearney emphasized that resilience must be embedded in strategy and technology, not treated as a luxury, amid disrupted trade flows and capacity constraints.
Nearshoring Momentum: Javier Zarazua of JL Nearshoring Mexico noted a 7% rise in U.S. imports from Mexico through July 2025, contrasting with a 19% drop from China, driven by tariffs since 2018 and pandemic lessons.

Leveraging Technology for Efficiency

The report highlights technology as a beacon in this uncertainty. Andy Moses of Penske Logistics stressed the abundance of freight to move, while Michael Zimmerman of Kearney showcased AI’s role in digital brokerage—eliminating waste, automating processes, and boosting margins without adding staff. Examples include enhanced visibility, procurement, and freight auditing, transforming analysts into strategists.

Implications for Your Business

With costs climbing and economic growth slowing, businesses must adapt to maintain competitiveness. Nearshoring offers a buffer against global disruptions, but it requires agile networks to handle tighter freight conditions. Tariff-fueled inflation and flattish rates demand cost optimization, while AI-driven tools provide a path to efficiency gains.

How Gain Consulting Can Support You

Gain Consulting is your partner in building a resilient supply chain:

Strategic Resilience Planning: Assess your network for tariff impacts and nearshoring opportunities, integrating AI for predictive insights.
Cost Management: Optimize spending amid the 5.4% cost surge, leveraging motor carrier efficiencies to offset flattish rates.
Technology Integration: Deploy AI solutions for visibility, auditing, and automation, enhancing margins and operational agility.
Risk Mitigation: Navigate inflation peaks and trade shifts with tailored strategies, ensuring stability in a volatile market.

Charting the Path Forward

As of October 10, 2025, the logistics sector stands at a crossroads. The CSCMP report’s call for resilience resonates as a strategic imperative. At Gain Consulting, we’re committed to helping you cut through the fog with data-driven solutions that turn challenges into opportunities.

Source: Connor D. Wolf, "Logistics Leaders Urge Resilience as Costs Climb," Transport Topics, October 9, 2025.