Recognizing the complexity surrounding unprecedented shifts in global power dynamics, our Center for Geopolitics cuts through the noise to bring both clarity and action to the intersection of geopolitics and business strategy, merging advanced geopolitical insights with BCG’s world-class analytical capabilities.
Our Approach to International Trade
Taking a “wait-and-see approach” will not lead to an advantageous position for firms and governments. Our international trade consultants help clients identify and implement a clear set of proactive moves to mitigate risk and seize competitive advantage as the international trade environment evolves:
- Assess Exposure. The first step for companies is to take a hard, analytic look at their manufacturing, supply, and distribution footprints to assess their exposure to changes in trade rules. In today’s volatile trade landscape, companies should activate a tariff command center that’s focused on understanding tariffs, mobilizing quickly, applying proven action levers, and driving agile responses to continuously shifting trade dynamics. Quantify the potential impact on revenues, costs, and production assets throughout the value chain.
- Understand Dynamics. Abrupt trade policy changes can shift the entire competitive landscape in different ways for different companies. Determine the strategic implications of new trade rules for each product in specific markets, such as their price competitiveness and market access. Also assess the exposure of each competitor and its suppliers to understand the relative impact and identify potential opportunities.
- Identify Potential Levers. Develop a set of all potential actions that can be taken in response to trade policy changes under different scenarios in order to both mitigate risk and gain competitive advantage. Identify proactive as well as reactive actions, as well as triggers that indicate when to pull these levers.
- Build Resilience. Identify no-regret moves that can be taken preemptively at little cost, such as prequalifying new suppliers, in order to create options and flexibility to move quickly in case of any sudden changes to international trade rules.
- Create a Playbook. Develop a set of actions to be taken under different scenarios, and make sure leadership is aligned on which moves to make in certain circumstances.
Navigating Tariffs
Explore facts about tariffs, debunk common myths, and understand their real impact on your business.
How BCG Helps Clients Adapt to Shifting International Trade Dynamics
Our international trade consulting experts use advanced approaches to help clients in managing trade flows, market access, supply chain resilience, and compliance.
Global Trade Model
The Global Trade Model projects trade flows using macro trends and geopolitics across corridors and product levels.
Trade Flow Analytics
Trade Flow Analytics provides dynamic trade flow maps with leading analysis of government-reported data.
Tariff Optimization
Tariff Optimization helps analyze and reduce tariff costs based on trade routes and country relationships.
Trade Engagement Index
The Trade Engagement Index combines key trade metrics to compare nations in a single model.
Geopolitical Risk Model
The Geopolitical Risk Model evaluates stability using multiple indices with sector-level insights.
Cost Competitive Index
The Cost Competitive Index identifies risks and opportunities by comparing costs across geographies, SKUs, and suppliers.
The Trade x Climate Impact Assessment
The Trade x Climate Impact Assessment models how climate regulations can shift trade flows and competitiveness.
The Trade Policy Radar
The Trade Policy Radar tracks global trade rules, sanctions, and remedies using qualitative and quantitative data monitoring and collection.
Our Client Work in International Trade
Our international trade consultants are helping companies adjust and thrive during a time of major transformation in global trade.
A global logistics company experiencing global supply chain disruptions and rising cross-border e-commerce engaged international trade consulting experts to reassess market attractiveness and M&A opportunities. Using BCG’s Global Trade Model, they analyzed eight markets across economic, political, and regulatory factors. The result: tailored strategies and over 50 high-potential acquisition targets, offering a clear roadmap for growth.
Facing geopolitical tensions, trade barriers, and rising regulatory pressures, a manufacturer sought to strengthen supply chain resilience and align operations with sustainability goals. Our international trade consultants helped the client turn geopolitical complexity into opportunity by developing optimized manufacturing network options and conducting risk analyses. This led to improved resilience to trade disruptions while optimizing for cost and regulatory compliance.
Our Latest Thinking on International Trade
Article
July 18, 2025
The mantra in business used to be “cost is king,” then “resilience at all costs.” But in these uncertain and complex times, companies need an approach that delivers both.
Article
June 23, 2025
Tariff volatility serves as the most recent reminder that companies can anticipate and benefit from rapid change by deploying a strategic foresight toolkit.
Article
June 17, 2025
Five actions can help CEOs move forward with big investment decisions, despite uncertainty.
Article
June 10, 2025
Europeans are feeling gloomy, according to a survey of 16,000 consumers in nine countries. More than half, 54%, are pessimistic about the economy of their home country, a 7 percentage point increase since July 2024.
Harvard Business Review
BCG's experts on international trade explore how shifting tariffs, rising technologies, and geopolitical tensions are redrawing the global manufacturing map and reshaping supply chain strategies.
Article
May 28, 2025
CEOs will have to start making big decisions again soon, or risk future growth. Here’s how they can stare down uncertainty and move forward.
Report
January 13, 2025
New BCG research forecasts dramatic changes in world trade flows in the coming decade as national alliances, rivalries, and aspirations rewire the global economy.
Article
April 23, 2025
Rising protectionism is increasing the risk of breaking complex and ever-changing trade rules. Incorporating trade compliance across the value chain is essential.
