Advertisement

How coronavirus shutdowns are redrawing supply chains and globalisation forever

  • Global lockdowns are disrupting supply chains and giving the world a taste of economic decoupling. But the gains of globalisation and the internet cannot be rolled back, so what awaits us is not the end but a fresh reconfiguration of the global economy

Reading Time:4 minutes
Why you can trust SCMP
A pedestrian looks at an illuminated map on the empty streets of the Alpine resort of Zermatt, on March 18, after the Swiss government declared a state of emergency to combat the coronavirus pandemic. Photo: AFP

It was only in recent years, as I take friends and family back to visit my childhood home, that I realised just how small – quite literally – that childhood world had been.

Advertisement

The river I used to wade in to catch sticklebacks and freshwater crayfish was just 100 yards from my home. The fields where my father took me in darkness before dawn to pick horse mushrooms, or hazelnuts and sweet chestnuts, were just half a mile away.

My school was a 10-minute bike ride away. Most of our food came from my father’s allotment, half a mile up the hill. For those lucky enough to afford them, cars were proudly built in the British Midlands 50 miles away.

I realise today, as economists worldwide wring their hands over the possible collapse of globalisation and global supply chains and a potential decoupling, that this small childhood world was very much what a decoupled world looked like.

It seemed plenty big enough then, even though our summer caravan holidays were just an 80km (50-mile) drive away, and annual visits to relatives in Yorkshire were an exotic treat. Three TV channels seemed a luxury of choice. A crackly mono record player was the envy of many neighbours. And, in bed at night, there were books aplenty.

The “coupled” world we have built since has exploded our horizons. Here in Hong Kong, we fly many times a year to resorts and business meetings thousands of miles away. We no longer eat with the seasons. We choose between steaks from Australia, Argentina or the United States, or avocados from Taiwan, the Philippines, Australia or Mexico.
Advertisement