The globalization backlash: A new world economic order?

After World War II, rising consumerism and a reduction in trade barriers led to an ever more deeply connected and interdependent global economy. As more goods got to more people more quickly, the United States emerged as the world’s undisputed economic superpower. But in recent years, there’s been a backlash to American-powered globalization. The turmoil and uncertainty unleashed by the financial crisis of 2008 was followed by a rise in populism and protectionism around the world. Recent events, including the Covid-19 pandemic and Russia’s war in Ukraine have exposed further fractures in the global economy. This has led to a debate about an alternative economic order. China’s rapid rise, as well as the establishment of economic alliances like BRICS (Brazil, Russia, India, China and South Africa) have led to speculation that the era of US-dominated globalization could be coming to an end. In this edition of Business Beyond, we ask: has globalization had its day, and if so, what will come in its wake?