Tag: 3BL

DAVIDSON, N.C., February 4, 2025 /3BL/ – Trane®– by Trane Technologies (NYSE: TT), a global climate innovator, proudly announces the expansion of its advanced thermal management systems tailored for mission critical environments. A global leader and trusted advisor in sustainable thermal management systems for commercial buildings and mission critical infrastructure, Trane is bolstering its data center thermal management systems with new liquid cooling capabilities and introducing the Trane Coolant Distribution Unit (CDU).

“We’re excited to extend our thermal management systems offerings, testing, modeling and service leadership to include liquid cooling for our mission critical customers” said Steve Obstein, Vice President and General Manager, Data Centers & High-Tech, Trane Technologies. “We are redefining thermal management systems and optimization to deliver consistent and reliable thermal management tailored for mission critical environments.” 

Trane liquid cooling solutions are engineered to provide precise thermal management by helping to control the delivery and return of coolant to IT racks and are specifically designed to handle high-performance workloads while significantly reducing energy consumption. Tested, validated, and certified, Trane’s thermal management systems deliver optimized performance, driving energy efficiency and lowering operational costs. 

Trane’s 1MW Coolant Distribution Unit (CDU) with up to 1350kWs is an ideal solution for data center environments seeking to implement direct-to-chip solutions as they shift to hybrid cooling. The Trane CDU leverages proven LiquidStack® technology to enhance Trane’s comprehensive thermal management capabilities. This advanced system not only provides precise thermal management by controlling the delivery and return of coolant to IT racks but also integrates seamlessly with Trane’s high-efficiency chillers. This integration optimizes performance for one of the key consumers of utility within the thermal management system, ensuring optimal energy efficiency. By combining cutting-edge liquid cooling technology with advanced system design, Trane is setting a new standard in sustainable and efficient thermal management for mission-critical environments. 

“I’m thrilled that Trane is bringing LiquidStack high-performance CDU technology to its global network of customers seeking to uplevel their cooling strategies to meet the extraordinary heat rejection needs of AI,” said Joe Capes, CEO, LiquidStack.

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About Trane 
Trane – by Trane Technologies (NYSE: TT), a global climate innovator – creates comfortable, energy efficient indoor environments through a broad portfolio of heating, ventilating and air conditioning systems and controls, services, parts and supply. For more information, please visit www.trane.com or www.tranetechnologies.com.

About Trane Technologies 
Trane Technologies is a global climate innovator. Through our strategic brands Trane® and Thermo King®, and our portfolio of environmentally responsible products and services, we bring efficient and sustainable climate solutions to buildings, homes and transportation. For more on Trane Technologies, visit tranetechnologies.com. 

© 2025 Trane. All Rights Reserved.​​​​​​​ 
All trademarks referenced in this document are the trademarks of their respective owners.

NORTHAMPTON, Mass., February 4, 2025 /3BL/ – A new national study from 3BL, in partnership with TriplePundit and Glow, reveals a striking trend shaping the sustainability and social impact landscape in 2025: the growing role of individual action. According to the research, 36% of Americans believe individuals—not government or business—will drive the most positive impact on social and environmental issues this year. This sentiment is even stronger among highly engaged sustainability consumers, rising to 41%.

As organizations navigate evolving regulations and stakeholder expectations, public demand for corporate responsibility remains steady across political lines. The study found that while institutional frameworks may shift, Americans continue to expect meaningful action from the businesses they support.

Key Consumer Trends

Political and Generational Shifts: Republicans (22%) favor business-led impact, while Democrats (25%) lean on government. Gen Z trusts institutions, while Baby Boomers (38%) believe in individual action but show skepticism (26%).Business Priorities: Consumers expect action on employee well-being (56%), sustainable packaging (54%), and ecosystem restoration (49%).Sustainability Behaviors: More consumers are shopping secondhand, reducing air travel, and cutting meat consumption.

The 3Bs of Impact Communications: A Framework for Businesses

To help organizations align with shifting expectations, 3BL introduces the 3Bs of Impact Communications:

Blueprint: Develop a plan based on the landscape.Benchmark: Analyze and optimize strategies for impact.Breakthrough: Deliver the right message to the right audience.

For more details and to access the full report, visit here. 

About 3BL 
3BL is the leading sustainability and social impact communications partner, connecting organizations’ stories of purpose and progress with the audiences who matter most.

3BL partners with over 1,500 companies – from global corporations and mid-sized enterprises to NGOs and nonprofits – to elevate their reputations as players in the world of responsible business. We do this through unrivaled news and content distribution, bespoke storytelling support, and our digital media division, TriplePundit.

Originally published in FedEx’s 2024 Global Economic Impact Report

The U.S. economy faced macroeconomic headwinds in FY 2024, with moderating inflation, continued job growth, and low unemployment helping boost overall U.S. GDP.

Trade between the U.S. and other countries also showed signs of recovery in the second half of FY 2024,13 as U.S. businesses continued looking to new markets for both supply chain partners and end customers. For example, U.S. imports from Mexico increased nearly 5% in CY 2023, reaching a total of $475.6 billion.14

FedEx operations in the U.S. are uniquely positioned to help customers adapt to changing economic conditions and shifting trade patterns. The company operates two major air hubs in Memphis and Indianapolis that provide capacity for domestic and international air shipments, as well as dedicated international air gateways in Alaska and Miami to facilitate trade between the U.S. and APAC and LAC regions, respectively. FedEx Freight is a leading provider of less-than-truckload (LTL) services — an economical option for U.S. businesses needing to ship cargo that won’t fill an entire trailer — while the extensive FedEx road network connects thousands of facilities to enable deliveries to 100% of U.S. residences and businesses.

Across this network, FedEx helps ensure that the company’s services and its economic impact extend to communities across the nation. FedEx employed approximately 370,000 people15 in the U.S. in FY 2024 and contracted with nearly 6,000 independent service provider businesses to provide pickup and delivery services on behalf of FedEx. Independent service provider companies employ their own drivers and support staff, and utilize their own equipment for transporting packages. More than half of these businesses have provided service to FedEx for more than f ive years, and 38% are minority, veteran, or women-owned. Since 2018, the average annual revenue for service providers has more than doubled to $2.1 million, and the annual revenue generated totals $12.3 billion.

The scale of these operations and the range of the company’s services make FedEx a significant presence in the U.S. Transportation and Warehousing sector,16 which grew substantially in FY 2024.

The sector’s total net economic output reached an estimated $981 billion in FY 2024, an 18% increase over total net economic output in FY 2023. FedEx directly contributed an estimated 6.7% of that net economic output in FY 2024. 

Across the entire U.S. economy, FedEx directly contributed an estimated 0.2% of net economic output in FY 2024, a considerable impact for a single company.

In addition to this direct impact, FedEx indirectly contributed an estimated $8.1 billion to net economic output across the entire U.S. economy in FY 2024.

Measuring market-level impact 
The contributions that FedEx makes to the U.S. economy are often most noticeable in locations where the company has a large presence. Cities, counties, and states that house significant FedEx facilities experience the direct impact of its capital expenditures, high levels of company employment, and purchases with local suppliers, along with the economic activity indirectly generated by the company’s extensive shipping, logistics, and business services.

To illustrate this localized impact, Dun & Bradstreet analyzed FedEx economic contributions to 13 U.S. markets, including seven states — Alaska, California, Florida, New York, Ohio, Pennsylvania, and Tennessee — and six major metropolitan areas, including Dallas-Fort Worth-Plano, Indianapolis (Marion County), Memphis (Shelby County), Miami (Miami-Dade County), Pittsburgh (Allegheny County), and Los Angeles (Los Angeles County). The analysis focused on the company’s impact on the Transportation and Warehousing sector, where FedEx makes substantial contributions due to the size of its network and the nature of its core services. As in the overall U.S. economy, FedEx contributed to strong economic growth at the market level. All 13 markets analyzed recorded increases in GDP for the Transportation and Warehousing sector in FY 2024. Transportation and Warehousing growth also outpaced overall GDP growth in seven of the markets analyzed, including Florida, New York, Pennsylvania, Ohio, Indianapolis, Miami, and Pittsburgh.

FedEx also remains a major employer in these markets, paying wages that further stimulate economic activity across municipalities, counties, and entire states. For example, FedEx employs nearly 40,000 people in both California and Tennessee, approximately 18,000 people in Florida, nearly 15,000 in Pennsylvania, more than 12,000 in Ohio, and approximately 14,000 in New York. Those jobs are often concentrated in major metropolitan areas, such as Shelby County, Tennessee, where FedEx employs approximately 32,000 people; and Dallas-Fort Worth-Plano, Texas, where FedEx employs approximately 15,000 people.

FedEx spending with local suppliers also makes important contributions to the economies of these markets. For example, FedEx spent $1.3 billion with suppliers in Marion County, Indiana, and $1.1 billion with suppliers in California in CY 2023. FedEx spending with local suppliers surpassed a half-billion dollars in several other markets in CY 2023, including Tennessee ($637 million), Pennsylvania ($612 million) Florida ($598 million), New York ($580 million).

Employment 
With operations and employees in every state, FedEx is one of the largest employers in the country. The company is committed to supporting all employees with a safe, inclusive, and growth-focused workplace. Since the company’s inception, opportunity has been at the forefront of its commitment to excellence. Providing opportunities to everyone ensures that FedEx team members – and their diverse perspectives, backgrounds, identities, talents, and skills – all come together to make the company successful in an ever-changing global marketplace. To illustrate this commitment, in FY 2023, 57% of FedEx employees in the U.S. identified as minorities. Within U.S. management, employees that identified as minorities made up 37% of positions.

As team members look to grow in their careers, FedEx offers tuition assistance and the Learning inspired by FedEx (LiFE) program — a partnership between FedEx and the University of Memphis. The LiFE program offers tuition-free, online degree options for more than 30 associate’s and bachelor’s programs of study. In FY 2024, approximately 4,500 employees were enrolled. FedEx is also dedicated to helping all team members develop their careers through learning and development opportunities, including the FedEx Learning Center that provides more than 25,000 online courses to employees after orientation.

As part of the company’s total rewards package, FedEx also provides competitive benefits to support the health and quality of life of employees and their eligible family members, including healthcare, wellness, paid sick leave, flexible paid time off, short- and long-term disability, and other benefits. Eligible full- and part-time employees may elect these competitive health benefits offered by FedEx for themselves and their eligible dependents. In 2023, FedEx covered more than 70% of total eligible health care costs on average for more than 360,000 participating employees and their dependents in the U.S.

This commitment to providing high-quality jobs, career growth opportunities, and support for employees’ health and wellbeing has repeatedly earned FedEx honors as one of the best places to work in the United States. For example, in 2023 FedEx was named by LinkedIn as one of the Top Companies to Grow your Career and recognized as a Blue Ribbon Company by Fortune. In 2024, FedEx was named one of the Best Companies to Work for by the Women’s Choice Awards.

13 https://unctad.org/system/files/official-document/ditcinf2024d2.pdf 

14 https://www.bea.gov/news/2024/us-international-trade-goods-and-services-december-and-annual-2023

15 This number includes active full-time and part-time FedEx employees.

16 As defined by the U.S. Bureau of Economic Analysis.

For a closer look at select markets, read the full report here.

Click here to learn about FedEx Cares, our global community engagement program.

The report identifies the key global players in the environmental & sustainability (E&S) consulting by E&S consulting revenue for FY 2023.

ST. PAUL, Minn., February 4, 2025 /3BL/ – Inogen Alliance today announced it is ranked #32 in Environment Analyst’s latest Global Environmental & Sustainability Consulting Market Assessment.

This moves our ranking up by 9 from the previous report published in 2023, and yet another improvement in ranking by 9 from 2022. Our collective ranking when combined with Antea Group, which is listed separately at #19, would put the Inogen Alliance at #14 globally.

The report researched and curated by Environment Analyst, a leading membership community and provider of business intelligence to the global environmental services sector, identifies the leading global consultancies in environmental and sustainability (E&S) consulting sector based on their E&S consulting revenue from financial year 2023. The state-of-the-industry study provides a window into market dynamics, competitor rankings, revenue breakdowns, M&A insights and growth opportunities.

“This ranking is very meaningful to the Inogen Alliance. We are an Alliance of over 70 independent companies globally, and our growing global footprint and technical capabilities demonstrates our collective ability to accelerate a resilient plant for all, which is core to our collective purpose. Our operating model is unique compared to the other companies on this list, but we are proud to be included among the top 35 global leaders in this space,” Angelique Dickson, President, Inogen Alliance.

Some of the key services provided by Inogen Alliance Associates globally under Environment and Sustainability services include Groundwater and Soil Remediation, EHS Due Diligence, Biodiversity, Waste Management, Climate Mitigation, Decarbonization, Sustainability Strategy and Reporting, Energy Transition, Water Stewardship and more. For a full listing check here.

The report is based on data compiled for 35 of the leading international E&S consulting firms, who totaled a combined revenue of $35.3bn in 2023, and together account for 65% of the global E&S consulting market.

The latest data from the Global 35, or ‘G35’, leading companies featured in the report is based on their figures for the latest fiscal year end, submitted via an annual survey and verification process (and/or estimated based on publicly available annual reports and public information sources where there are data gaps). For all the G35 firms analysed, the data is based on their financial year ending in 2023 (2024 for the companies with FY ending in March).

Environment Analyst’s definition of environmental sustainability consulting (E&S) is: “The provision of specialist technical, management, risk, analytics and strategic advisory services to help organisations understand, manage, and minimise their impacts to protect and enhance the environment and communities, and proactively respond to climate change, the nature crisis and associated impacts”.

We are proud to be included in this leading global 35 ranking by EA, and more importantly, proud of the work this represents globally for our clients in accelerating a more sustainable future for all.

Download the Report

About Inogen Alliance

Inogen Alliance is a global network of environment, health, safety and sustainability consulting companies working together to help multinational organizations meet their global commitments locally. With offices located on every continent, more than 6,000 associates worldwide, and projects completed in more than 150 countries, Inogen Alliance provides unparalleled local consulting expertise, global consistency and 20 years of experience building a cleaner, safer and more sustainable future. Global Thinking. Local Delivery. Learn more at www.inogenalliance.com

About Environment Analyst

Environment Analyst is a leading membership community and provider of business intelligence to the global environmental services sector. Environment Analyst has a global membership community of over 22,000 sustainability professionals. Membership includes access to their entire market intelligence library, which features bespoke market intelligence reports, data-sets, interactive dashboards and competitor analysis profiles, plus business news and insights.

Environment Analyst also hosts networking opportunities for sustainability business leaders to come together in closed-group forums, and larger-scale in-person Sustainability Summits.

For more information about the report please contact Research & Data Manager Indrė Jakaitytė at indre.jakaityte@environment-analyst.com.

For more information about Environment Analyst and their membership services contact Membership Development Manager Lisa Turner at lisa.turner@environment-analyst.com.

As we start a new year, Leidos is looking back and celebrating a 2024 marked by significant achievements and transformative innovations illustrating the company’s commitment to rapidly address its customers’ most vexing challenges and to help them operate smarter and more efficiently. From innovative milestones to significant contract wins and meaningful community contributions, here’s a look at 2024’s highlights.

Milestones Achieved 
MHS GENESIS Deployment Completed

Leidos successfully completed the deployment of MHS GENESIS, the world’s largest electronic health record system. With its rollout to Captain James A. Lovell Federal Health Care Center in Chicago last year, the system is now operational at over 4,000 global locations, serving more than 9.5 million beneficiaries and 200,000 medical providers.

Enduring Shield Successful Intercept

The Leidos Enduring Shield system was successfully tested by the U.S. Army, intercepting unmanned aircraft systems and cruise missile targets. This result led to an Initial Operational Test and Evaluation contract, underscoring the system’s advanced capabilities in tracking and neutralizing airborne threats.

Team Wins 
Leidos demonstrated its technological leadership through notable contract wins across diverse sectors, showcasing the company’s ability to solve complex challenges.

$631M DIABLO Program Contract

Leidos will enhance aerial intelligence, surveillance, and reconnaissance systems for the U.S. Army, supporting lifecycle development and integration.

$738M Air Force Cybersecurity and IT Contract

Leidos extended its two-decade work in support of the U.S. Air Force to deliver advanced cybersecurity and IT solutions in the national capital region.

$249M Biometrics System Contract

Leidos is enhancing the Army’s physical access control system into a more efficient, cloud-based solution as the Automated Installation Entry-Next Generation prime contractor.

$326.5M NIH eRA system Contract

With agile software development and AI-driven solutions, Leidos will help modernize the NIH’s grants management system, the eRA, which administers over $40B annually.

Australian Joint Air Battle Management System

Leidos Australia is collaborating with Lockheed Martin Australia to develop an advanced integrated air and missile defense capability for the Australian Defence Force. 

Giving Back to Communities 
Leidos announced over $5 million in community-focused gifts and collaborations during November and December, strengthening its commitment to education and health.

$1.75M gift to enhance technical education at Drake State

Leidos funded the Leidos Advanced Training Complex at Drake State Community & Technical College in Huntsville, Alabama, which will help enhance student learning with hands-on experience with complex technical and manufacturing projects.

$750K donation to increase tech infrastructure Hampton University

The Leidos contribution to Hampton University in Hampton, Virginia, will fund scholarships, enhance technology infrastructure, and provide students with opportunities to learn at Leidos facilities.

$2.5M to support pediatric medicine and research at The Children’s Inn

The Leidos gift supports The Children’s Inn’s expansion, providing housing and services for families of children undergoing treatment at the National Institutes of Health.

$50K to Hawaii Youth Impact Program

Leidos CEO Tom Bell presented a $50,000 donation to the Hawaii Youth Impact Program to support its STEM curriculum. The program uses innovative approaches to promote positive development for at-risk middle school students.

Enhancing Employee Experience

Leidos reiterated its commitment to offering a compelling employee experience. The company introduced new benefits to support its workforce and attract top talent, including an additional paid holiday and increased retirement matching.

The company also shone a light on women veterans who feel invisible (around 20% of Leidos’ workforce are military veterans) and supported upskilling in AI and skills-based hiring for critical cybersecurity roles.

After such an impactful 2024, Leidos is looking forward to reaching even greater heights and smarter accomplishments in 2025.

In this latest blog Dr. Marsha Dickson, President and Co-founder of the Better Buying Institute (BBI), reflects on the organization’s journey since its inception in 2015 and looks ahead to its future now that key Better Buying assets have become part of Cascale. She discusses the exciting opportunities and ambitions for advancing responsible purchasing practices at Cascale, as well as the broader impact on the industry as a whole.

Read the full blog, titled: With Cascale, Better Buying Legacy Lives On

February 4, 2025 /3BL/ – One of the highlights of the GreenBiz 25 conference for sustainable business leaders, the Women in Sustainability Leadership Awards (WSLA Awards) will be presented at the 11th annual WSLA Awards ceremony Feb. 11, 2025, 6 pm – 8:30 pm MST at the Meritage Terrace of JW Marriott in Phoenix, AZ. 

The WSLA Awards will be hosted by the WSLA Alumnae Group, comprised of past WSLA Awards winners. This year’s 11 honorees will join these other powerful women at the forefront of sustainability who are making a difference in the world by initiating lasting change. No other organization recognizes highly accomplished women in sustainability from such diverse, global, and multi-professional segments. 

And the WSLA Class of 2025 winners are…. 

Irissol Arce – Senior Director, Sustainability at Northwestern Mutual 
Taryn Fuentes – Co-Founder of Carbon Real 
Irene Galindo – Second Councilor of Los Cabos 
Catherin Greener – Founder, Greener Solutions Inc. 
Connie Hensler – Global Director of Environmental Management and Product Stewardship at Interface. 
Chris Hagler – Co-Founder and CEO of Impact Pathways 
Annie Lappé – Vice President, Strategy & Impact at Pivot Energy. 
Shea Jameel– Senior Director, Head of Sustainability for Marsh McLennan. 
Christina Vernon Sanborn – Associate Principal, Sustainability Practice Leader at Mazzetti 
Dr. Cassandra Thiel – Assistant Professor at New York University; President and CEO of Clinically Sustainable Consulting LLC 
Aurora Winslade – Director of Sustainability at Edison International. 

Said Rochelle Routman, WSLA Alumnae Group President and Chairperson of the Board, “We look forward to welcoming these women leaders into the heart and soul of WSLA, which is an organization dedicated to recognizing women sustainability leaders that have a track record of selfless determination, persistence, and achievement. This award elevates these high achieving women, providing them with even greater influence to solve more complex challenges, which benefits all of us. 

Noted WSLA Alumnae Group Vice President and Board Member Lisa Colicchio, “Congratulations to the WSLA winners of 2025! These women are champions of climate change leading the charge towards a sustainable future for all.” 

The Feb. 11 WSLA Awards ceremony will feature opening words from GreenBiz Editor and WSLA Alumnae Group Board Member Heather Clancy, who will moderate a fireside chat in conversation with Laura Bishop, a WSLA Class of 2024 alumnae. Together they will explore the most pressing issues affecting life on earth. 

Tickets are $75. For more information and to purchase tickets, visit https://www.zeffy.com/en-US/ticketing/a20f99cd-5334-40a8-a6af-f41433ca6866 
Join an esteemed group of sponsors and enjoy great exposure with a prestigious audience before, during and after the event. To sponsor, see https://www.wsla.global/sponsors 

About WSLA 
The WSLA Alumnae Group, a 501(c)(3) charitable organization, is a community of past Women in Sustainability Leadership Award winners: over 125 of the most influential women* trailblazers who have become a powerful force in the profession of creating a more sustainable world. The group’s annual awards program, summits, service activities and mentorship opportunities continue to pave the way in sustainability and for future leaders in the field. For more information, visit https://www.wsla.global 

*WSLA welcomes a diversity of women to unite as a strong collective of unique lived experiences and perspectives committed to sustainability and impactful environmental stewardship. WSLA is a strong proponent, advocate, and practitioner of equity, diversity, inclusion, and justice and as such is an organization open to all women. Our definition of women is expansive and includes those who may identify as non-binary, genderqueer, gender-expansive, two-spirit, and otherwise do not exist within a gender binary. 
 

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PRESS CONTACT: 
Susan Bang 
HMTX Industries 

AT WSLA ALUMNAE GROUP: 
Rochelle Routman 
HMTX Industries

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Originally published by MSN

As the cost of youth sports continues to rise, many families are finding it harder to afford the activities their kids are passionate about. Beyond that, ensuring that families have safe, natural spaces to play is just as important. This is where Scotts, a long-standing leader in the lawn care industry, made a difference with its “Keep It Real” sweepstakes.

Continue reading here

About ScottsMiracle-Gro

With approximately $3.6 billion in sales, the Company is the world’s largest marketer of branded consumer products for lawn and garden care. The Company’s brands are among the most recognized in the industry. The Company’s Scotts®, Miracle-Gro®, and Ortho® brands are market-leading in their categories. The Company’s wholly-owned subsidiary, The Hawthorne Gardening Company, is a leading provider of nutrients, lighting, and other materials used in the indoor and hydroponic growing segment. For additional information, visit us at www.scottsmiraclegro.com.

In today’s fragmented global trade landscape, South America is emerging as a savvy player, striking a delicate balance between major economic powers like the United States, China, and the European Union. Thanks to its neutral stance, the region is not just weathering geopolitical tensions — it’s thriving, according to DP World’s 2025 Trade in Transition report. The annual report, co-authored with Economist Impact, examines the headwinds of global trade in 2025 and their impact around the world.

The regional South American report, “South America: Positioning for Global Connectivity” finds that by expanding trade agreements and attracting foreign direct investment (FDI), South America is positioning itself as a vital connector in the global supply chain. However, its path forward is not without challenges.

Neutrality: An Advantage in a Divided World

As the world’s largest economies engage in trade wars and protectionist policies, South America is charting a different course. According to the survey, 64% of South American executives view global trade fragmentation as a positive opportunity for the region’s exports.

This optimism reflects the region’s ability to maintain strong relationships with all three major blocs — the United States, China, and the EU — without overly aligning with any one of them.

Geopolitical tensions have created opportunities for South America to capitalize on disruptions. For instance, Brazil’s dominance in soybean exports to China, following Chinese tariffs on U.S. soybeans, underscores the region’s ability to turn trade disruptions into advantages.

Neutrality is also seen as a driver for attracting FDI, with 32% of executives pointing to this balanced approach as a way to expand manufacturing capabilities. By diversifying economic relationships, South America is building resilience against the uncertainties of relying too heavily on any single trade partner.

Trade Agreements: Building Stability Amid Uncertainty

Trade agreements are central to South America’s strategy to remain competitive in an unpredictable global market. The recently concluded EU-Mercosur trade negotiations mark a key milestone, reducing barriers and enhancing market access between South America and Europe.

Countries like Chile and Peru are leveraging free trade agreements (FTAs) with the United States and China to diversify their export markets and provide the stability businesses need in a world edging toward protectionism.

However, the region isn’t immune to the ripple effects of U.S. trade policy. Some South American businesses are adapting supply chains to mitigate potential tariffs, such as those targeting goods routed through the region from Chinese ports. This reflects the need for agility as global trade dynamics shift.

China’s Influence: A Double-Edged Sword

China’s economic footprint in South America has grown significantly, with bilateral trade increasing from $18 billion in 2002 to over $500 billion in 2024. Chinese investments in infrastructure and trade agreements have helped South America diversify its economic ties, but they also come with risks.

While deepening ties with China has strengthened trade networks, concerns remain about over-reliance on commodity exports and potential sovereignty issues. Additionally, North America’s protectionist policies could pressure South America to limit partnerships with Chinese firms. Balancing these competing relationships will be critical for long-term stability and resilience.

Infrastructure Challenges: A Roadblock to Growth

South America’s trade ambitions are constrained by its underdeveloped infrastructure. Logistical challenges such as unpaved roads, port inefficiencies, and unreliable electricity create barriers to building cost-effective, interconnected supply chains.

Addressing these issues will require significant investments, including public-private partnerships and international funding. However, infrastructure projects — especially those financed by China — often come with dual-use capabilities that could complicate global relationships.

Despite these obstacles, some countries are finding innovative ways to attract investment. Chile, for example, is positioning itself as a global leader in clean hydrogen production, leveraging its renewable energy resources to promote sustainable growth. Such initiatives highlight the potential for South America to align growth strategies with global sustainability goals.

Nearshoring: A Strategic Shift

Nearshoring is gaining traction among South American businesses as they seek to reduce logistics costs and improve supply chain resilience. According to the survey, 41% of executives cite reducing transport and logistics costs as their primary motivation for nearshoring, compared to a global average of 33%.

Countries like Argentina, under its recent free-market reforms, are striving to attract foreign investment by encouraging private enterprise and increasing competition. Similarly, other nations in the region are investing in infrastructure and reforms to establish themselves as hubs for transport and distribution.

However, these efforts depend on reliable tax incentives and clear legal frameworks. Without a stable regulatory environment, the region risks deterring the very investors it seeks to attract.

Digital Transformation: The Tech Advantage

South American firms are increasingly turning to technology to address trade challenges. Artificial intelligence (AI) is playing a growing role in reducing trade costs, improving planning, and optimizing cash management. Digital tools for inventory management and supply chain visibility are helping businesses mitigate logistical challenges tied to poor infrastructure.

While AI adoption varies across industries, its potential to enhance efficiency is undeniable. By streamlining operations and cutting costs, digital transformation is helping South America position itself as a competitive global trade partner despite its infrastructure gaps.

The Path Forward

South America stands at a crossroads, with opportunities and challenges in equal measure. By maintaining neutrality, leveraging trade agreements, and investing in infrastructure and technology, the region is navigating the complexities of modern trade with remarkable adaptability.

However, success will depend on South America’s ability to balance relationships with major powers while addressing internal challenges such as infrastructure development and regulatory stability. With the right strategies, the region can solidify its position as a vital player in the global economy.

Curious to learn more about South America’s trade dynamics? Click here to download a copy of the full report, where you can dive deeper into the findings shaping the region’s future.

Mastercard

More than 3,000 business and government leaders, academics and artists gathered in the mostly snow-less Swiss Alps for the World Economic Forum’s annual summit in Davos under the banner “Collaboration for the Intelligent Age” last week. And while all eyes were on Washington with the U.S. inauguration, the discussions on the ground emphasized the need to drive forward digital transformation — from agentic AI to blockchain to the commercialization of these technologies — that benefits everyone. 

“In a day and age where you’ve got … a disaggregated world, you want something that protects you,” said Jon Huntsman, Mastercard’s president of Strategic Growth, at a panel on stemming financial fragmentation. “We have spent a lot of money on consumer protection, on cyber, on tokenization … that allows us to gain critical insights and intelligence on who’s got your information, who might be a bad actor, and how to avoid that.”

AI remains atop the agenda

Artificial intelligence continued to dominate discussions — both its “stunning technology possibility,” in the words of former U.S. Treasury Secretary Larry Summers, and the “epic challenge” it poses for governments all over the world. Leaders discussed a number of those challenges they needed to address, including how they could meet the demands for energy and computer chips that heavy use of AI requires.

Additionally, they’ll have to confront a potential “crisis of truth” that AI could exacerbate, as Pope Francis characterized it in a written address, and find ways to upskill employees for the age of AI — even as a WEF survey earlier this month revealed that 41% of employers globally plan to downsize their workforce by 2030 due to AI automation. In fact, Salesforce CEO Marc Benioff said that the chief executives gathered in this Swiss village would be the last generation to manage all-human workforces.

Even as participants discussed the big issues of the day, they didn’t lose sight of the little things that are foundational to digital alignment and collaboration. Described by one participant as “inspired dullness,” a continued drive towards common standards came up frequently.

For small businesses, AI could be a gamechanger, but panelists acknowledged there are challenges in bringing those benefits to resource-strapped entrepreneurs. “There’s mistrust around technology. There’s time poverty. There’s a sense of overload in terms of where to start,” says Payal Dalal, an executive vice president for global programs at the Mastercard Center for Inclusive Growth, at a panel hosted by the Center on driving resilience for small businesses in an AI-driven world.

“And finally,” she continued, “small businesses don’t know how AI can really help them save time and make money. So really understanding what the needs of the small businesses are and then figuring out how AI can help as opposed to just pushing AI towards small businesses is the way forward.”

And in a piece for the WEF Agenda blog published as the summit opened, Ling Hai, Mastercard’s president for Asia Pacific, Europe, Middle East and Africa, highlighted how partnerships across the public sector, nonprofit and private sector are essential to accelerating the digital journeys of small businesses, which can boost economies and drive greater inclusion and resilience.

Trust must be foundational

In addition to AI, the rise of cybersecurity risks was a major topic of discussion at WEF this year. As attacks are growing in scope and scale, small businesses need help, Ling Hai wrote. “Given the pressures of running a small business, it is impossible to expect owners to keep track of the latest updates or research the best network monitoring software, but trust with customers that has taken years to build can be shattered in seconds by a cybersecurity breach.”

A new report by WEF released earlier in January on the state of cybersecurity pointed to the growing complexity of cyberspace, which is widening the opportunity gap between large and small organizations, and deepening the economic divide between developed and emerging economies.

Collaborative action, particularly between the private and public sector, is needed to ensure “we can bring innovation and data in the context of AI along, so that we can ensure that the Global South is well protected for future generations,” said Kiki Del Valle, Mastercard division president for North Latin America at a panel convened by ODI and Mastercard on leadership in an era of weakened multilateralism.

Another worrying finding of the survey: About 35% of small organizations believe their cyber resilience is inadequate, a proportion that has increased sevenfold since 2022. Meanwhile, many more large organizations are reporting that they believe they have enough cyber protections.

“Safety and security, right now, is one of the biggest threats that face us globally,” said Linda Kirkpatrick, Mastercard’s Americas president, who joined a panel on the WEF mainstage on the future of the economy in Latin America and the Caribbean.

“One positive outcome of the pandemic was that our small businesses, our consumers, got comfortable in a digitized environment,” she said. “We want everyone to have access, and we want access to drive usage. At the same time, that advancement in digitization can lead to risk in the system in the form of cyberattacks. Safety and security, right now, is one of the biggest threats that face us globally. We need to unify around a common goal to protect our digital ecosystem.”

Originally published by Mastercard

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