Trade and the world economy · at 3 min
Supply chains built up over decades of interdependence are being reorganized or fragmented as a result of geopolitical tensions. The multilateral trading system has been weakened, and the WTO can no longer fully carry out some of its essential functions. Yet what is at stake here is not merely a technical issue of trade policy. The question is whether relations between states will continue to be governed by common rules, or if they will increasingly depend on the weight and power of each individual state. For Switzerland, this is a fundamental issue. That is because my country is an open economy with few natural resources. A large part of its prosperity, therefore depends on trade, but also on the stability and predictability of the rules that make such trade possible. Economic resilience requires us to diversify relationships, forge new partnerships, and keep trade between different regions of the world as open as possible. This is particularly important for economies with fewer resources or limited market access. Access to markets knowledge and technology can create opportunities that would not otherwise exist. These abstract concepts encompass quite concrete realities a business that can take on an apprentice, a family that can secure a more stable income, a producer who can trade beyond their local market. Young people for whom the range of possibilities suddenly widens. That is also what we mean when we talk about a global economy. Trust is built when the rules offer everyone a genuine opportunity to participate.
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