U.S. corporate boards are turning to artificial intelligence to navigate an increasingly unstable trade environment. As tariffs rise and policy uncertainty clouds investment plans, directors are prioritizing AI-driven analytics and real-time modeling to manage risk, protect margins, and guide strategic decision-making.
A new Director Confidence Index from Diligent and Corporate Board Member shows directors now rate the overall business risk environment at 6.8 out of 10, reflecting persistent concern that global trade disruptions could weigh on profitability well into 2026.
Tariffs and Trade Uncertainty Dominate Risk Landscape
Eighty-one percent of directors cite the economic impact of U.S. tariffs as their top concern, surpassing inflation and supply chain disruption as key drivers of operational volatility. Nearly half (48%) also point to lingering logistics bottlenecks and currency fluctuations as compounding factors that make planning more difficult in 2025’s fragmented global trade environment.
“Boards recognize the need for more frequent conversations about risk and strategy,” said Dottie Schindlinger, Executive Director of the Diligent Institute, in an official statement. “Having access to real-time data and analysis to support those conversations is crucial.”
Across industries, directors are contending with tariff-driven cost escalation on everything from semiconductors to furniture. These pressures are prompting new urgency around predictive tools that can translate shifting trade policies into actionable insights, before those changes cascade through supply chains and earnings forecasts.
AI and Analytics Move to the Core of Board Oversight
When asked how they plan to mitigate risk, 42% of directors said increasing the frequency of strategy and risk-focused discussions should be a top priority. Another 35% pointed to the deployment of advanced technologies, especially AI, for real-time forecasting, scenario testing, and data-driven decision support.
Directors also cited secondary levers, including enhanced education for board members (28%), improved access to benchmarking data (26%), and stronger dialogue with senior management. Notably, more than one in five boards plan to broaden participation in oversight discussions to include diverse operational perspectives, a sign that governance models are becoming more adaptive and data-informed.
Embedding Foresight Into Governance
Tariff exposure and trade friction have become recurring factors in global operations, influencing pricing, sourcing, and investment decisions across industries. Boards that integrate trade data and supply chain intelligence into their regular oversight cycles are already improving response times and negotiating leverage. Recent boardroom studies show that companies doing this are better positioned to pre-empt disruptions and negotiate from strength with both regulators and suppliers.
