In a rapidly shifting geopolitical landscape, businesses are focusing on adapting to global trade uncertainties. Dr. Nikolaus Lang, global leader of the BCG Henderson Institute, shared his insights with GZERO’s Tony Maciulis during the World Economic Forum in Davos. Dr. Lang discussed the Trump administration’s cautious approach to tariffs, emphasizing the likelihood of increases in the near future. "Our point of view is that there will be tariff hikes in one way or the others. Whether this will be the magnitude that was kind of mentioned in the campaign remains open."
While the delay may provide corporations some time to prepare, he stressed the urgency for businesses to strengthen their "geopolitical muscle" by diversifying supply chains, planning for inflationary volatility, and integrating geopolitical awareness into decision-making. Despite the complexities, Dr. Lang remains optimistic about global trade growth, forecasting a 3% annual increase over the next decade. Emerging markets, particularly Southeast Asia and India, are poised to benefit significantly, offering substantial expansion opportunities. His insights underscore the need for businesses to remain agile and proactive, finding opportunities even amid disruption.
This conversation is presented by GZERO, in partnership with Microsoft, from the 2025 World Economic Forum in Davos, Switzerland. The Global Stage series convenes global leaders for critical conversations on the geopolitical and technological trends shaping our world.