Risks of Global Trade Fragmentation

Abstract

Th e article examines the main factors that generate risks of global trade fragmentation, including increasing role of developing countries in the world market, trade confl ict between the USA and China, emergence of new production technologies, digitalization, combating climate change, deadlock in the WTO, reindustrialization policy, COVID-19 pandemic, geopolitical uncertainties. Th ese risks are quite high and, moreover, are already partially materializing. In terms of economic feasibility, it is becoming more evident that confrontation in trade should be overcome and closer intergovernmental cooperation in economic policy ought to be facilitated, but the current geopolitical situation may suspend fulfi llment of such a scenario to an uncertain future.