Could Iran war trigger bigger trade crisis than COVID?
Key takeaways
- As the Iran war simmers, trade experts ask whether it could reshape supply chains more deeply than COVID-19, forcing companies to rethink strategies to counter further geopolitical shocks.
- The pandemic exposed the world's heavy dependence on China for manufacturing everything from electronics to medical gear, while Trump’s tariffs, introduced last year, also accelerated efforts to cut that reliance.
- The war in Iran has highlighted yet another weakness: how fast a disruption to critical raw materials such as oil, gas and fertilizers can ripple across global trade.
Why this matters: an international story with cross-border implications worth tracking.
As the Iran war simmers, trade experts ask whether it could reshape supply chains more deeply than COVID-19, forcing companies to rethink strategies to counter further geopolitical shocks.
https://p.dw.com/p/5CGIg The full effects of the Iran war on global trade are yet to be fully felt, experts say Image: Imaginechina/Sipa USA/picture alliance Advertisement Iran's shutdown of the Strait of Hormuz has drawn comparisons with the supply disruptions of the COVID-19 pandemic and US President Donald Trump's new tariff regime.
The pandemic exposed the world's heavy dependence on China for manufacturing everything from electronics to medical gear, while Trump’s tariffs, introduced last year, also accelerated efforts to cut that reliance.