Technology adoption, tariffs and regulatory changes are among the top concerns for mid-market CEOs headed into 2026, as they confront an increasingly volatile economic environment in the new year.

According to a survey of 500 mid-market U.S. CEOs and business owners from consultancy Baker Tilly, 80% are weighing supply chain changes, with 61% focusing on domestic suppliers, and 53% searching for cheaper supplier alternatives. Leaders are also turning to technology to cut costs and improve efficiency, with 89% reporting investments in artificial intelligence during the current fiscal year.

Read More: Supply Chain Uncertainty Likely 'Here to Stay' in 2026

“Business owners know they can’t predict tariffs, taxes or interest rates. They can, however, prepare and mitigate the impact of changes in other ways,” said Baker Tilly chief practice officer Rebecca Pomering. “We’re seeing leaders double down on agility, technology and operational discipline to stay ahead of what comes next.”

Although tariffs and other geopolitical factors are expected to bring more uncertainty to supply chains in 2026, 97% of respondents expressed confidence in their ability to navigate the current economic conditions. Already, more than 60% say that they have secured new domestic suppliers or adjusted pricing strategies in response to tariffs and rising costs.

Nearly six in ten respondents are also deploying new tools to streamline operations, analyze data and manage costs, with AI emerging as the most common focus. On average, mid-market companies expect to spend more than $600,000 on AI this fiscal year, while 62% of leaders say that access to advanced technology is becoming a key differentiator for attracting and retaining top talent.