{"id":23946,"date":"2025-08-11T17:17:13","date_gmt":"2025-08-11T17:17:13","guid":{"rendered":"https:\/\/insurance-canada.ca\/?p=83658"},"modified":"2025-08-11T17:17:13","modified_gmt":"2025-08-11T17:17:13","slug":"escalating-tariff-and-trade-war-tops-emerging-risks-in-second-quarter-of-2025-gartner-survey","status":"publish","type":"post","link":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/2025\/08\/11\/escalating-tariff-and-trade-war-tops-emerging-risks-in-second-quarter-of-2025-gartner-survey\/","title":{"rendered":"Escalating Tariff and Trade War Tops Emerging Risks in Second Quarter of 2025: Gartner Survey"},"content":{"rendered":"<h3 class=\"h3 default headingRuleDefault\">Survey of 223 Senior Enterprise Risk Executives Reveals Shifts in Top Five Emerging Risks<\/h3>\n<p>San Diego, CA (July 31, 2025) \u2013 The escalating tariff and trade war moved into the top rank of emerging risks for the second quarter of 2025, according to Gartner, Inc.<\/p>\n<div class=\"globalsite cmp-globalsite-articletext aem-GridColumn aem-GridColumn--default--12\">\n<article class=\"article-text grid-norm margin-top-bottom mg-t16 rmg-b32\">The Quarterly Emerging Risk Report series captures enterprise risk management (ERM) leaders\u2019, risk management professionals\u2019, auditors\u2019, and senior executives\u2019 views on emerging risks or over-the-horizon risk.The 2Q25 report, based on a survey of 223 senior risk and assurance executives, also revealed mounting concern around the low-growth economic environment and consumer spending slowdowns, contributing to uneasiness about slowing global economy.<\/p>\n<p>\u201cThe top five emerging risks in Q2 point to two broad themes for enterprises: A volatile low-growth macroeconomic environment, and a disruptive new technology that poses significant compliance risks rapidly growing in mainstream adoption,\u201d said <a href=\"https:\/\/www.gartner.com\/en\/experts\/gamika-takkar\">Gamika Takkar<\/a>, Director, Research, in the <a href=\"https:\/\/www.gartner.com\/en\/audit-risk\">Gartner Risk &amp; Audit Practice<\/a>.<\/p>\n<p>\u201cRisk leaders need to ensure their organizations are prepared for potential disruption to supply chains and increases to the cost of doing business in a global market,\u201d said Takkar. \u201cThese impacts have the potential to be more disruptive at a time of slowing global economic growth.\u201d<\/p>\n<p>AI-related information governance-driven risks, moved from the fifth most cited spot in 1Q25 to the fourth rank in Q2, and Shadow AI moved into the top 5 as the popularity and ease-of-access to public AI tools soars, and organizations face challenges in effectively monitoring its use (see Table 1).<\/p>\n<\/article>\n<\/div>\n<h4>Figure 1: Top Emerging Risks of Q2 2025<\/h4>\n<p><a href=\"https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2.jpg\"><img loading=\"lazy\" fetchpriority=\"high\" decoding=\"async\" class=\"aligncenter size-large wp-image-83660\" src=\"https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2-1024x410.jpg\" alt width=\"640\" height=\"256\" srcset=\"https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2-1024x410.jpg 1024w, https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2-300x120.jpg 300w, https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2-768x308.jpg 768w, https:\/\/insurance-canada.ca\/wp-content\/uploads\/2025\/08\/gartner-emerging-risks-2025q2.jpg 1497w\" sizes=\"(max-width: 640px) 100vw, 640px\"><\/a><\/p>\n<p><em>Source: Gartner (July 2025)<\/em><\/p>\n<div class=\"globalsite cmp-globalsite-heading aem-GridColumn aem-GridColumn--default--12\">\n<div class=\"grid-norm rmg-t32 mg-b16 margin-top-bottom\">\n<h3 class=\"h4 default headingRuleDefault\">Prioritizing Cost Optimization<\/h3>\n<\/div>\n<\/div>\n<div class=\"globalsite cmp-globalsite-articletext aem-GridColumn aem-GridColumn--default--12\">\n<article class=\"article-text grid-norm margin-top-bottom mg-t16 rmg-b32\">In the current environment, executive leaders are increasingly emphasizing cost optimization. However, cost-cutting measures that are rushed or poorly planned can also pose a risk to organizations.\u201cExecutive leaders expect ERM to play a critical role by thoroughly evaluating how policy changes could affect organizational performance, risk exposure, internal controls, and overall business strategy,\u201d said Takkar. \u201cHalf of executive leaders Gartner surveyed indicated that they depend on qualitative insights from internal teams, such as compliance and ERM to guide them.\u201d<\/p>\n<p>To effectively gauge the impact of cost-reduction strategies on operations, risk profile, key strategic initiatives and long-term growth, risk leaders should use qualitative assessment methods to evaluate actions. For instance, if delaying a key strategic initiative is a potential approach, take these three steps to fully evaluate the impact:<\/p>\n<ul>\n<li><strong>Assess<\/strong> how changes affect strategic goals, short- and long-term business risk profile. Ask if delayed action adversely impacts a key strategic transformation that will sustain or create strategic value.<\/li>\n<li><strong>Identify <\/strong>options to stay focused on key transformative initiatives. Consider the potential of collaborating with executive management to allocate resources or adjust other strategic goals to sustain an initiative that could be cut.<\/li>\n<li><strong>Develop <\/strong>performance and strategic metrics to trigger adjustments to cost reduction. Consider whether a&nbsp;timely threshold trigger of market share or portfolio growth indicate revaluating a potential delay.<\/li>\n<\/ul>\n<p>\u201cBroad, rapid cost reductions that fail to consider their impact on both immediate and long-term risk profiles and strategic objectives may ultimately diminish efficiency and outweigh potential savings,\u201d said Takkar. \u201cOrganizations that identify and manage risk actions will better protect their organization from current economic challenges.\u201d<\/p>\n<p>Gartner clients can access the study at <a href=\"https:\/\/www.gartner.com\/document-reader\/document\/6633934?ref=solrAll&amp;refval=476678848\">2Q25 Emerging Risk Report<\/a>. Nonclients can read: <a href=\"https:\/\/www.gartner.com\/en\/audit-risk\/trends\/top-emerging-risk-trends-for-erm-leaders?utm_source=int-mktg&amp;utm_medium=press-release&amp;utm_campaign=RM_GB_2023_CRISC_NPP_PR1_EMERGINGRISKS&amp;utm_term=ebook\">Top Emerging Risk Trends Report<\/a>.<\/p>\n<div class=\"grid-full \">\n<div class=\"bgImageParent-1754929626512\">\n<div class=\"grid-norm match-height-target\">\n<div class=\"grid-norm-inner no-top-bottom-padding\">\n<div class=\"bg-inner grey-bg\">\n<div class=\"aem-Grid aem-Grid--12 aem-Grid--default--12 \">\n<div class=\"globalsite cmp-globalsite-heading aem-GridColumn aem-GridColumn--default--12\">\n<div class=\"grid-norm rmg-t32 mg-b16 margin-top-bottom\">\n<h3 class=\"h4 default headingRuleDefault\">About Gartner for Legal, Risk &amp; Compliance Leaders<\/h3>\n<\/div>\n<\/div>\n<div class=\"globalsite cmp-globalsite-articletext aem-GridColumn aem-GridColumn--default--12\">\n<article class=\"article-text grid-norm margin-top-bottom mg-t16 rmg-b32\">Gartner for Legal, Risk and Compliance Leaders provides expert guidance and tools to help leaders across legal, risk, audit and compliance departments more effectively manage an increasingly complex risk landscape and build next-generation functions. Additional information is available at <a href=\"https:\/\/www.gartner.com\/en\/audit-risk\">gartner.com\/en\/audit-risk<\/a> and <a href=\"https:\/\/www.gartner.com\/en\/legal-compliance\">gartner.com\/en\/legal-compliance<\/a>.<\/article>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/div>\n<\/article>\n<\/div>\n<h4 class=\"smallhead\"><b>About Gartner<\/b><\/h4>\n<p>Gartner <em>(NYSE: IT)<\/em> delivers actionable, objective insight that drives smarter decisions and stronger performance on an organization\u2019s mission-critical priorities. To learn more, visit <a href=\"https:\/\/www.gartner.com\" target=\"_blank\" rel=\"nofollow noopener noreferrer\">www.gartner.com<\/a>.<\/p>\n<p class=\"referencetext\"><i>Source: Gartner<\/i><\/p>\n<p> Tags: <a href=\"https:\/\/insurance-canada.ca\/tag\/compliance\/\" rel=\"tag\">compliance<\/a>, <a href=\"https:\/\/insurance-canada.ca\/tag\/emerging-risks\/\" rel=\"tag\">emerging risks<\/a>, <a href=\"https:\/\/insurance-canada.ca\/tag\/gartner\/\" rel=\"tag\">Gartner<\/a>, <a href=\"https:\/\/insurance-canada.ca\/tag\/top-risks\/\" rel=\"tag\">top risks<\/a> <\/p>\n","protected":false},"excerpt":{"rendered":"<p>Survey of 223 Senior Enterprise Risk Executives Reveals Shifts in Top Five Emerging Risks San Diego, CA (July 31, 2025) \u2013 The escalating tariff and trade war moved into the top rank of emerging&#46;&#46;&#46;<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":[],"categories":[],"tags":[1],"jetpack_featured_media_url":"","_links":{"self":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/23946"}],"collection":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/comments?post=23946"}],"version-history":[{"count":0,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/posts\/23946\/revisions"}],"wp:attachment":[{"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/media?parent=23946"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/categories?post=23946"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/blog.lifeinsurance-orleans.ca\/index.php\/wp-json\/wp\/v2\/tags?post=23946"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}