AI in Trade: Real Help or Just Hype?
As an engineer turned CEO, I'm always excited about tech—but also cautious. AI is transforming global trade rapidly, from managing supply chains to fighting fraud. But honestly, is it living up to the hype?
Where AI is Winning
AI isn't just fancy buzzwords—it’s delivering real results:
Supply Chains: Companies like Amazon have cut inventory levels significantly by predicting demand better. It works—I’ve seen it firsthand in my own startup.
Shipping Efficiency: Maersk uses AI to find the best shipping routes, saving fuel, money, and headaches from delays.
Customs Clearance: AI speeds up border inspections, quickly identifying risky shipments. This helps legitimate goods move faster.
Fraud Prevention: Banks are using AI to catch fraud in trade finance—Standard Chartered, for example, has already prevented millions in duplicate payments.
Negotiations Made Easy: Walmart’s AI negotiators handled routine supplier agreements, saving time and money—exactly the kind of practical automation that CEOs appreciate.
But Let’s Be Real—There Are Limits
AI isn’t flawless. Here’s why I'm cautious:
Unpredictable Situations: AI is great until something unexpected happens (think pandemics or sudden market shifts). It still heavily depends on historical data.
Transparency Issues: Many AI systems make decisions without clear explanations. That makes me—and regulators—uneasy.
Complexity and Security: Implementing AI is complicated and costly. Plus, more AI means more data to protect from cyber risks.
Balanced Use Is the Key
AI can dramatically improve efficiency in areas with lots of data and repetitive tasks. But for creative problem-solving or complex judgment calls, we still need human expertise. As Mike Novello of Koch Industries rightly says: "You don't need AI everywhere." Smart businesses strategically use AI to complement, not replace, human skills.
What I Recommend
Be clear on what you want AI to solve—start small, then expand.
Get your data ready first—good AI depends on good data.
Train your team to work alongside AI, not against it.
Pick AI solutions you can trust and audit easily.
Continuously check how well your AI systems perform and adjust accordingly.
My Bottom Line
AI is definitely useful—it's not just hype. But it’s no magic fix either. In global trade, success comes from blending technology smartly with human judgment. That's the practical path forward.
