Comments by Chengang Wang, on Fragmentation in International Investment and Trade

Chengang Wang: In the aftermath of several global shocks and ongoing geopolitical tensions, including the COVID-19 pandemic, U.S.–China rivalry, Russia–Ukraine conflict, and Israel–Palestine conflict, the nature of the world economy is under scrutiny. There is a growing debate about whether this is now “the end of globalization” (Olivié and Gracia 2020), or whether we are in the era of de-globalization, re-globalization, slowbalization, or fragmentation (Benedikter et al. 2022; Herrero 2023; Madhok 2021). De-globalization refers to a significant retreat from global connectedness, characterized by reduced international trade and foreign direct investment (FDI). Re-globalization indicates a reconfiguration and potential deepening of global connections through, for example, new regional agreements (Comprehensive and Progressive Agreement for Trans-Pacific Partnership and the African Continental Free Trade Area being a couple of examples). Slowbalization involves a deceleration in the pace of globalization rather than a complete reversal, where global economic integration through trade...