The end of globalization: how coronavirus will change the global economy

The actions of countries during the coronavirus pandemic showed that global solidarity has given way to the national interests of each country. After the coronavirus pandemic, it is hard to imagine that states will ever truly be able to unite on global projects.

The end of globalization: how coronavirus will change the global economy

 


The actions of countries during the coronavirus pandemic showed that global solidarity has given way to the national interests of each country. After the coronavirus pandemic, it is hard to imagine that states will ever truly be able to unite on global projects.


American doctors and nurses, who are preparing for the influx of patients with coronavirus, have already faced a shortage of face masks. Many of them will enter the struggle between life and death without protection, Bloomberg writes, noting that if rapprochement between the USA and China is generally possible, then now is the right time for him.

China produces half of all medical masks in the world and is a leader in the manufacture of artificial respiration and ventilation apparatus. However, instead of cooperating in the production and distribution of necessary goods, Washington and Beijing prefer to bring charges of creating the virus and increase the degree of tension by revoking the accreditation of journalists, the agency said.

The consequences of these actions can be catastrophic, and not only to combat an extremely rare virus, writes Bloomberg: "This is also a bad omen for the global fight against climate change and the proliferation of weapons of mass destruction, not to mention globalization itself."

Without the close interaction of the two largest economies in the world, it is impossible to imagine global security in health, climate, economics and finance, the agency said. This was recognized by former U.S. President Jimmy Carter, who established diplomatic relations with Beijing in 1979. Then the main area of ​​cooperation between the countries was joint work in the field of medicine and health. "Now, at a time of global danger, the governments of the two countries are giving up the benefits of cooperation, which lasted four decades," writes Bloomberg.

A similar trend is in the European Union, the agency notes. At a time when new restrictions are being introduced on the continent, France, Germany and other countries block the export of face masks: "Solidarity has given way to its own interests."

Globalization works on trust: before manufacturers could afford to stockpile supplies to protect themselves in a crisis, but in the era of globalization, they used to rely on timely deliveries, writes Foreign Affairs. The problem is that deliveries may be delayed in the midst of a pandemic, the newspaper notes.

Companies have already experienced sudden supply chain disruptions. For example, a flood in Thailand in 2011, and the tsunami and earthquake in Japan shortly afterwards hit electronics production. “But the world has never experienced such massive destruction. Globalization will probably never be able to fully recover, ”writes Bloomberg.

According to the agency, now the United States and China should unite in the same way as they did during the Second World War in order to defeat Japan: “This is wartime again. A few weeks ago, medical personnel in Wuhan were on the front line. Now it’s the turn of hospital workers in San Francisco, Chicago and New York, as well as in European cities. ”