Even before the Covid-19 pandemic hit, the trend towards freer movement of goods, capital and people, aka globalisation, was facing severe headwinds in the form of trade wars, refugee crises and Brexit.
Wherever one looks, globalisation is in retreat. Multinational supply chains buckled amid the coronavirus crisis, as transportation links broke and governments hoarded goods deemed strategic. International trade, which had decelerated in the decade leading up to the coronavirus crisis, isn’t expected to return to the robust growth of the 1990s and 2000s.
Policies that hinder migration, such as the executive orders of the Trump administration, are making it harder for companies to attract foreign talent — and to move executives around the globe to gather experience and spread values and know-how. Even the virtual world is breaking apart, as evidenced by concerns about the “splinternet” — the prospect that the internet could be divided between competing Chinese and US-led technological spheres.
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