Supply Chain Leaders Brace for Energy Crunch, Turn to AI

Supply Chain Leaders Brace for Energy Crunch, Turn to AI

Global supply chains are entering a period of dramatic transformation as companies confront rising energy instability, rapid AI adoption and a renewed push toward regionalization. These findings come from the 2026 Prologis Supply Chain Outlook report, produced with The Harris Poll and based on insights from more than 1,800 senior executives worldwide.

Hamid R. Moghadam, co-founder and CEO of Prologis, noted that companies are undergoing the “biggest reset in a generation,” driven by three core forces: energy reliability, artificial intelligence, and strategic location decisions. The report highlights that resilience—not speed or cost—is now the top priority for global supply chains.

A majority of executives identified energy reliability as a growing crisis. Nearly 90% of companies experienced energy-related disruptions last year, including severe price fluctuations and weather-related power outages. Seven in ten executives say they fear power outages more than any other form of disruption, even though fewer than one-third have advanced backup systems in place. Notably, 90% of surveyed leaders reported they would pay a premium for facilities with reliable and resilient power infrastructure.

The report also shows that AI is quickly becoming central to supply chain operations. Seventy percent of respondents say they have reached advanced or transformational levels of AI adoption, particularly for quality control and risk detection. By 2030, executives expect AI to drive most major supply chain decisions.

A third major trend—regionalization—is accelerating as companies shift production and distribution closer to major consumption markets. Nearly six in ten leaders predict more localized supply chains by 2030, and over three-quarters have already begun building regional networks. For the first time, energy reliability (40%) has surpassed labor costs (36%) as the top factor influencing site selection for supply chain operations.

Susan Uthayakumar, chief energy and sustainability officer at Prologis, emphasized the rising pressure on global power systems. “Energy is the new fault line in global supply chains,” she said. “Companies that solve for energy resilience will be the ones that stay ahead.”

The full 2026 Supply Chain Outlook report is available from Prologis.

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