The digital transformation of global supply chains has introduced unprecedented opportunities for efficiency and automation, alongside new cybersecurity risks and legal challenges. This study focuses on the impact of these factors on international trade efficacy, as well as the complex connection between data sovereignty requirements and cybersecurity strategies within smart supply chains. We look at how businesses balance following the rules with good logistics performance using case studies, professional interviews, and data analysis. Our results show that data sovereignty rules add a lot of work to operations, but they also make supply lines stronger and safer. The study also shows that companies that can balance these different needs have 23% fewer cyber events while still getting the benefits of cross-border logistics. One thing that is often seen as a problem is becoming more and more important in shaping hacking and the future of smart supply chains, as this study clearly shows. Rules about where data is stored, rules that are specific to a sector, and sending data across borders all cause big problems, such as higher costs to comply, limited data movement, broken IT setups, and difficult audits. This research indicates that enterprises that synchronize their data governance with sovereignty-focused policies are more inclined to use advanced security architectures. Sovereign cloud environments are one of these architectures. They make sure that data stays inside the right bounds. Edge computing is another. It lets processing happen locally, which lowers exposure. Zero-trust models are another. They check access across distributed assets all the time. Today's technologies improve the safety, reliability, and availability of supply chain data in a few locations. The newly established standards are easier to follow, the operations are more stable, and the partners trust each other more.