Podcast Summary: The Trade Guys – Altana CEO Evan Smith on Managing Supply Chains with AI

Podcast Information:

• Title: The Trade Guys
• Host/Author: CSIS | Center for Strategic and International Studies
• Episode: Altana CEO Evan Smith on Managing Supply Chains with AI
• Release Date: July 14, 2025
• Description: Trade experts Scott Miller and Bill Reinsch delve into the complexities of global trade, its policy implications, and its impact on everyday operations. This episode features Evan Smith, CEO and co-founder of Altana AI, discussing the transformative role of artificial intelligence in supply chain management.

1. Introduction

The episode kicks off with hosts Scott Miller and Bill Reinsch introducing their special guest, Evan Smith, the CEO and co-founder of Altana AI. They set the stage by highlighting the current tumultuous trade environment, referencing ongoing high-level trade negotiations involving President Trump and multiple global economies. The focus is on how these macro-level discussions trickle down to affect thousands of traders striving to navigate chaotic supply chains.

Notable Quote:

• Scott Miller [00:00]: "We're the Trade Guys, discussing trade in terms that everyone can understand."

2. Evan Smith's Background and Altana AI

Evan Smith shares his journey from growing up in Alaska to founding Altana AI. With a passion for solving large-scale global problems, Smith emphasizes his focus on environmental, national security, and economic dimensions of globalization. Altana AI, a seven-year-old venture-backed company based in New York, specializes in supply chain visibility and artificial intelligence. Their flagship product dynamically maps global supply chains, empowering businesses and governments to make informed decisions.

Notable Quote:

• Evan Smith [02:08]: "Altana believes it ought to be possible to know the whole global supply chain network and manage the entire product value chain of any product in the world."

3. The Evolution of Globalization

Smith discusses his thesis on the "collapse of globalization," written in high school, and how it has manifested in recent years. He outlines the transition from Globalization 1.0, driven by outsourcing and efficiency, to Globalization 2.0, which emphasizes trusted networks and value chains. This shift is fueled by geopolitical tensions, climate concerns, labor rights issues, and the fragility exposed by the COVID-19 pandemic.

Notable Quote:

• Evan Smith [06:24]: "Globalization is here to stay, but it's going to take a very different form—reoriented around trusted networks or trusted value chains."

4. Geopolitical Impacts on Supply Chains

The conversation delves into the current geopolitical climate, particularly the strained relationship between the United States and China. Smith explains how the Trump administration's trade strategies aim to reduce China's influence by rerouting goods through third-party countries like Mexico, increasing scrutiny on rules of origin, and enforcing stricter compliance measures.

Notable Quote:

• Evan Smith [10:14]: "The Trump administration's current trade strategy is more or less to induce trading partners to tighten things up vis-à-vis China, creating stronger barriers by rerouting goods from China to third-party countries like Mexico."

5. Altana AI’s Solutions for Supply Chain Management

Altana AI offers a "global trade control tower," providing executives with a comprehensive view of their supply chains. This tool allows businesses to simulate tariffs, assess revenue impacts, and identify vulnerabilities within their value chains. Additionally, Altana is developing AI systems for customs classification and USMCA (United States-Mexico-Canada Agreement) compliance, enabling companies to achieve significant savings and maintain regulatory adherence.

Notable Quote:

• Evan Smith [06:50]: "We help you know and manage the entire value chain of your goods, going beyond direct tier-one supplier relationships to understand component origins and raw material sources."

6. Navigating Current Tariff Trends

The hosts and Smith discuss recent tariff announcements, including the increased tariffs on Brazil and their implications for global trade dynamics. Smith predicts that baseline tariffs in the U.S. will rise, further decoupling from China, and emphasizes the need for businesses to adapt by leveraging Altana's technologies to manage and optimize their supply chains amidst these changes.

Notable Quote:

• Evan Smith [20:20]: "We can count on three things: baseline tariffs in the U.S. will increase, there is a clear intent to decouple from China, and component-based tariffs will become more prevalent."

7. Future Outlook and Strategic Recommendations

Evan Smith provides insights into the future of global supply chains, emphasizing the increasing importance of managing value chain networks rather than isolated buyer-supplier relationships. He underscores the necessity for businesses to adopt robust AI-driven tools to navigate the complexities of evolving geopolitical landscapes, regulatory requirements, and sustainability mandates.

Notable Quote:

• Evan Smith [32:42]: "The geopolitical competition between the U.S. and China is reshaping the global supply chain, making it crucial for businesses to have comprehensive visibility and management capabilities."

8. Conclusion and Final Thoughts

The episode wraps up with Scott and Bill reflecting on the dramatic nature of current trade negotiations and the practical work being done by companies like Altana to support businesses in these turbulent times. Evan Smith emphasizes the enduring nature of globalization in a transformed state and the critical role of technology in ensuring resilient and compliant supply chains.

Notable Quote:

• Evan Smith [34:06]: "I'm really excited to be here. This was a lot of fun, you guys."

Key Takeaways:

• Globalization is evolving from efficiency-driven outsourcing to trusted, resilient value chains influenced by geopolitical and environmental factors.
• Altana AI provides essential tools for businesses to gain visibility and manage complex supply chains using artificial intelligence.
• Tariff policies under the Trump administration are aimed at decoupling from China and enforcing stricter compliance, necessitating advanced supply chain management solutions.
• Future supply chains will require comprehensive understanding and management of multi-tier networks to navigate the intricate web of modern trade dynamics.

Resources:

• Altana AI Website: www.altana.AI

Contact:

• For questions or comments, listeners are encouraged to write to us@tradeguyssis.org.

This detailed summary encapsulates the essential discussions, insights, and conclusions from the episode, providing a comprehensive overview for those who haven't listened to "The Trade Guys."