Global trade continues to be a critical growth engine for businesses, yet the trade compliance landscape is becoming more complex and demanding. From new trade barriers and evolving Environmental, Social, and Governance (ESG) expectations to recurring supply chain disruptions, organizations must stay agile to remain compliant and competitive.
The 2024 Descartes Global Trade Compliance Benchmark Survey highlights the top challenges facing trade professionals today and reveals how leading companies are adapting their compliance strategies to navigate a rapidly changing global environment.
Key Takeaways
- Constantly shifting tariffs and sanctions are driving companies to adopt automated trade intelligence tools for compliance and agility.
- Diverse global sustainability and human rights regulations are pushing organizations to integrate ESG tracking and supplier verification into compliance systems.
- Ongoing disruptions are prompting investment in visibility and predictive analytics to strengthen agility and minimize risk.
- Businesses are investing in automation and compliance talent, recognizing trade compliance as a key driver of growth and competitiveness.
1. Tariffs and Trade Barriers: Managing Constant Change
According to survey findings, 50% of companies cite tariffs and trade barriers as their greatest trade compliance challenge. The ongoing ripple effects of geopolitical conflicts—such as the Russia-Ukraine war—have significantly broadened the scope of sanctions and export controls. Regulations like the U.S. Export Administration Regulations (EAR) and the Office of Foreign Assets Control (OFAC) sanctions now impact a wider range of businesses and products, including dual-use goods.
For many organizations, these evolving requirements demand deeper insight into regulatory obligations, supported by robust compliance frameworks. Businesses are increasingly investing in global trade intelligence solutions to automate compliance processes, manage tariff volatility, and ensure consistent, accurate classification and screening across markets.
With comprehensive trade content and technology, companies can respond proactively to new barriers, reduce risk exposure, and protect supply chain velocity.
Figure 1: Top Challenges in Global Trade Compliance
2. ESG Compliance: Meeting Heightened Global Expectations
Close behind tariffs, 43% of respondents identify ESG compliance as a major challenge. Stakeholders and regulators are holding organizations accountable for sustainability, ethical sourcing, and human rights standards. Yet, ESG expectations vary widely across regions, creating complexity for multinational operations.
The EU Corporate Sustainability Reporting Directive (CSRD) requires detailed disclosures, while the U.S. and other jurisdictions maintain more fragmented frameworks. Meanwhile, laws such as the Uyghur Forced Labor Prevention Act (UFLPA) and the UK Modern Slavery Act impose strict requirements for supply chain transparency.
For compliance teams, this means increased pressure to trace materials, verify suppliers, and document responsible sourcing. Leveraging technology that integrates real-time global trade content with ESG tracking capabilities enables companies to align with regional mandates and demonstrate due diligence.
Organizations that embed ESG into their trade compliance strategy not only meet regulatory expectations but also build trust and resilience in their supply chains.
3. Supply Chain Disruptions: Building Long-Term Resiliency
Forty-two percent (42%) of survey participants identify supply chain disruptions as a leading challenge, and 62% believe large-scale disruptions will become a regular feature of international trade. From port strikes and weather events to geopolitical tensions, unforeseen disruptions are testing supply chain resiliency like never before.
To mitigate these risks, organizations are turning to supply chain visibility and scenario modeling tools to better understand vulnerabilities, reroute shipments, and adapt quickly when disruptions occur. Mid-sized companies, in particular, are prioritizing technology adoption to close capability gaps and strengthen agility.
By combining global trade data, real-time insights, and predictive analytics, companies can anticipate potential disruptions, minimize delays, and protect customer commitments.
Figure 2: Supply Chain Disruptions Will be a Regular Part of Global Trade
Investing in the Future of Trade Compliance
The survey shows that forward-looking organizations are taking decisive action:
- 38% are investing in technology to automate compliance and enhance visibility
- 22% are expanding internal compliance resources to strengthen operational oversight
These investments underscore the growing recognition that trade compliance is not just a regulatory requirement—it’s a strategic enabler for growth, resilience, and competitive differentiation.
Conclusion
As global trade continues to evolve, so too must the strategies organizations use to manage it. The findings from the 2024 Descartes Global Trade Compliance Benchmark Survey make one thing clear: success in international trade depends on the ability to anticipate change, adapt quickly, and leverage trusted technology and data.
By partnering with Descartes, organizations can access timely, accurate global trade content, streamline compliance processes, and strengthen supply chain resilience.
With a comprehensive suite of Trade Intelligence Solutions from Descartes, companies can turn complexity into opportunity and ensure compliance confidence across every border.
Learn more about how Descartes Trade Compliance Solutions can help your business stay compliant and competitive.
