Strategic CFO Insights: Navigating tariffs, regulatory shifts and global uncertainty

With global tariffs shifting unpredictably and inflation looming, chief financial officers face one of the most complex financial landscapes in recent history. With this uncertainty comes opportunities as well as challenges. Successful CFOs can address these complexities by looking beyond the numbers, anticipating how macroeconomic shifts uniquely shape their industry’s trajectory. They also can consider key evolving aspects of the current global landscape, such as inflation. Tracking changes such as the 40% increase in the amount of money in circulation in the US that occurred during the two years immediately following the onset of the COVID pandemic (as reported by the Federal Reserve) can help anticipate inflation.

Economic and political shifts create challenges and opportunities for CFOs

In 2025, we see several key changes beyond inflation on the horizon:

• Tariff-related supply-chain disruption could challenge US firms but also create opportunities. For example, new tariffs may disrupt semiconductor and automobile supply chains but promote more domestic production and less reliance on foreign suppliers.
• The effects of immigration policies on blue-collar labor forces will likely impact some sectors such as consumer markets, manufacturing and distribution.
• The intensity of global conflicts – and their outcomes – also will likely impact some areas, such as natural gas liquids (NGLs) trading with Europe as well as oil, wheat and semiconductors globally.

The unpredictable cycle of tariffs — imposed, lifted, reinstated and adjusted — poses significant challenges for CFOs. To help you thrive in this climate, your company can emphasize agility and quickly address unpredictable fluctuations.

CFOs and their organizations face similar challenges due to the constant changes that are redefining physical and service lines across the globe. With shifting tariffs and policies, CFOs must strategically answer questions about where to allocate their next dollar of margin. (“Should you pay down debt to strengthen financial resilience? Buy back stock to boost shareholder value? Pursue acquisitions for strategic growth?”)

Aligning financial strategy with stakeholder priorities

As a CFO steering your investors, lenders and management teams to financial resilience, growth and better outcomes, here are some key questions you may want to specifically focus on:

• How to strategically allocate your incremental capital and address potential scenarios operationally and financially
• The short- and long-term financial impact of decisions in each scenario, from the next quarter to the next decade
• Which financial and operational levers to pull to mitigate risks and accelerate growth
• How competitor actions and global changes impact your supply chain and vendor relationships

While thinking through these questions, you can also take some specific actions to make your organization more agile:

• Move from annual static plans to dynamic forecasting and scenario planning embedded into everyday operations
• Invest in dashboards and analytics that provide real-time views of KPIs such as costs, revenue trends, supply chain metrics and global policy changes that can provide strategic insights and foresight
• Build internal teams skilled in geo-economic risk, or partner with external experts (like PwC Managed Services) to add capabilities quickly without long ramp-up times

Successfully navigating today’s unpredictable complexities demands a balance of financial foresight and agile decision-making to adapt to shifting economic and market conditions. Over the next five years, the most successful accounting and finance organizations will use nimble plans with built-in contingencies, enabling them to adapt to both foreseeable and unforeseen market shifts.

The first step to success is developing a resilient, data-driven strategy with a clear action plan. PwC’s Finance Managed Services team can guide you in mitigating risks, leveraging technology and navigating shifting tariffs and regulations.