• Global supply chains’ stress levels crept back above historical norms in December, while leading indicators remain mixed. The largest headwinds continue to be tariffs, shifting trade policy and geopolitical tensions leading to structural fragmentation. Historically, global supply chains were optimized for cost efficiency, just-in-time delivery and cross-border specialization. Today, more geo-political conditions have to be taken into consideration, resulting in a reconfiguration of supply chains. Nonetheless, major logistics bottlenecks have largely normalized compared to pandemic-era extremes, and firms are increasingly adopting dual- sourcing strategies to reduce exposure and improve resilience. • Inflation moderated across much of the Americas in 2025, with most countries covered in this report recording slower year-over-year (YOY) CPI growth compared to 2024. Ecuador was an exception, with annual inflation modestly higher in 2025 than in 2024, though CPI remains below 3%. While Argentina saw a sharp slowdown in consumer price growth, inflation remains extremely high, reflecting lingering effects of past fiscal imbalances, currency weakness and price distortions despite recent policy tightening. • Monetary policy is beginning to diverge across the region, with several Latin American central banks entering easing cycles, while the timing and pace of U.S. rate adjustments remain uncertain. This divergence has contributed to differing financing conditions across markets. In regions where borrowing costs are declining, improving liquidity may provide incremental support for real estate investment activity, while persistently higher rates elsewhere continue to weigh on capital deployment and development activity.
Macroeconomic: Significant Improvements
Global Supply Chain Stress (2015-2025)
150
5
130
3
Construction Conditions
110
1
90
-1
70
-3
2015 2016 2017 2018 2019 2020 2021 2022 2023 2024 2025
United States
China
LATAM
Global (RHS)
Source: Federal Reserve Bank of New York; Monthly data series
6
7
Cushman & Wakefield
Office Fit Out Cost Guide 2026
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