By Esther Ososanya
U.S. manufacturers are increasingly turning to artificial intelligence to manage supply chains and protect profit margins as global trade tensions escalate.
From unpredictable tariffs under President Donald Trump to sudden export bans, companies are betting on AI to stay lean and agile without overstocking warehouses.
For The Toro Company, a Minnesota-based lawnmower maker, AI has replaced panic buying with precision planning.
Supply chain chief Kevin Carpenter starts his day with a custom AI-generated podcast that filters relevant news from Trump’s latest posts to steel price shifts.
His team also uses generative AI to scan massive data sets and recommend exact purchase quantities, helping Toro maintain pre-pandemic inventory levels.
The AI supply chain market is booming. Gartner projects spending to jump from $2.7 billion today to $55 billion by 2029, fuelled by global instability.
Major players include SAP, Oracle, Coupa, Microsoft, and Blue Yonder, each reporting rising demand for generative AI solutions.
Efficiency Meets Cost Pressure
AI isn’t just about speed; it’s about savings. Lean inventories free up capital, cut storage costs, and reduce the risk of product obsolescence.
McKinsey data shows the share of manufacturers holding excess stock has dropped from 60% in 2022 to just 34% last year, with early 2025 data pointing to similar levels.
Experts warn against AI hype. While AI agents can monitor tariffs, weather forecasts, and shipping routes in real time, they still need human oversight for strategic decisions.
“AI is a powerful enabler, but not a miracle worker,” says Minna Aila of Finnish crane-maker Konecranes.
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Despite its promise, AI won’t replace supply chain managers anytime soon. Instead, it’s allowing them to run leaner teams while navigating an increasingly volatile trade environment.
As Carpenter jokes, “I just hope AI doesn’t take my job until my kids get through college.”
Esther Ososanya is an investigative journalist with Pinnacle Daily, reporting across health, business, environment, metro, Fct and crime. Known for her bold, empathetic storytelling, she uncovers hidden truths, challenges broken systems, and gives voice to overlooked Nigerians. Her work drives national conversations and demands accountability one powerful story at a time.
