NDTO News Article

Automation and the Future of Trade

Technological change has always played a role in shaping international trade. From steamships to the internet, each advancement has shifted how goods move across borders and how businesses operate. Today, automation—through robotics, artificial intelligence (AI), and smart logistics systems—is gradually transforming trade once again. While these tools offer new possibilities for efficiency and cost savings, they also bring challenges that require careful consideration.

 

Using Automation1

Automation is being integrated into nearly every part of the supply chain. In warehouses, robotic systems handle sorting and packing with increased precision. Ports in cities like Rotterdam and Los Angeles are adopting automated cranes and transport vehicles to manage large volumes of cargo. On the road, autonomous vehicles and digitally coordinated trucking are being tested to improve long-distance logistics. These developments have the potential to reduce processing times and errors, and improve predictability in delivery schedules.

Beyond the physical movement of goods, automation is changing how trade is managed and monitored. AI-powered tools are used to forecast demand, optimize shipping routes, and manage customs documentation. These systems can streamline operations, especially for small and medium-sized enterprises that may lack the resources of larger competitors. As a result, automation is influencing how businesses make decisions about pricing, inventory, and market access.

 

Effects on North Dakota Exporters

In North Dakota, where exports like agricultural products and manufactured goods are central to our economy, automation is beginning to influence trade processes. Farmers and producers are adopting tools like precision agriculture systems, automated storage, and logistics platforms to enhance efficiency and maintain product quality.2 These technologies can help improve timing and reliability when shipping goods to domestic and international markets. At the same time, smaller exporters may face barriers in accessing or affording new technologies, highlighting the importance of targeted support and infrastructure investment to ensure they remain competitive in a changing trade environment.

 

Looking Ahead

As automation continues to advance, its role in global trade will only become more prominent. While large companies are already leveraging AI, robotics, and data-driven tools to streamline operations, smaller businesses may face barriers to adoption. Bridging this gap will require targeted investments in infrastructure, access to affordable technology, and workforce training to ensure that automation benefits are broadly accessible.

For policymakers, automation raises new questions around regulation, digital trade standards, and labor. As some jobs shift or become obsolete, reskilling and education will be essential to preparing workers for emerging roles in a more tech-driven economy. How countries respond to these changes may shape their future competitiveness in global markets.

There are also environmental considerations. Smart logistics and predictive analytics can reduce waste and energy use, potentially making trade more sustainable. However, the pace of automation must be balanced with thoughtful policies that promote inclusion, security, and long-term resilience.

Automation is not just changing how trade works—it’s influencing who participates and how value is created across borders. The challenge going forward will be ensuring that this transformation is managed in a way that supports innovation while addressing its social and economic impacts.

 

The future of trade will not be shaped by technology alone, but by how businesses, governments, and workers adapt to and manage the changes it brings. Automation may not redefine trade overnight, but its gradual influence is already beginning to reshape the systems behind the scenes. Success will depend on striking a balance between innovation and inclusivity—ensuring that new technologies create opportunities rather than widen gaps. Ultimately, thoughtful policies and collaborative efforts will be essential to harness automation’s potential while addressing its social and economic impacts.

 

1The impact of artificial intelligence on international trade

2From Soil to Tech: The Impact of Automation in Agriculture | Automate Show