Trump's tariffs trigger rising rate of job layoffs inside supply chain: ASCM/CNBC survey
Recent surveys indicate that President Trump's tariffs are significantly impacting supply chain management, leading to increased layoffs and a decline in investment confidence. The proportion of supply chain managers reporting layoffs has doubled since April, reaching 32%. Many businesses are grappling with cost increases of at least 10-15%, reshaping their operational and financial strategies, with concerns about the long-term implications. While the upcoming Supreme Court decision may address legal uncertainties surrounding the tariffs, the immediate operational and human costs are likely to persist. Uncertainty about the economic outlook is palpable, with over half of respondents fearing a recession, complicating future investment planning.
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The survey by the Association for Supply Chain Management and CNBC was conducted between December 15, 2025, and January 7, 2026, involving over 220 supply chain professionals. This marked the third tariffs-related survey in the past year.
CEO Abe Eshkenazi highlighted that the human impact of tariffs extends beyond financial metrics, stressing the long-term effects on workforce capabilities and the challenges in planning for the future.
A significant 65% of respondents noted cost increases of at least 10-15%, with 34% experiencing even higher surges, indicating a severe strain on business budgets and operational viability.
Businesses are facing additional administrative burdens due to tariffs, leading to inefficiencies and lost productivity. Many report that even potential refunds from court decisions cannot offset the time and resources consumed by compliance.
A specific example includes Lalo, a baby products company, which faced new requirements for collateral on customs bonds, tying up hundreds of thousands in funds that could have been utilized for business growth.
The economic sentiment among supply chain professionals is mixed, with a notable 38% expressing negative outlooks and 56% fearing an impending recession, which could further deter investment decisions.
The uncertainty in the economy is reflected in the hesitance of supply chain managers to commit to longer-term strategies, as they deal with immediate operational challenges and financial constraints.