Deglobalisation in the Context of the United States-China Decoupling

HKUST IEMS Thought Leadership Brief No. 48


Alicia Garcia-Herrero (HKUST) and Junyu Tan (Natixis)

The deceleration in trade, global FDI and technology transfer has been fuelled by a shift from engagement to strategic competition between the US and China. COVID-19 is also an important factor driving deglobalisation, largely impacting the movement of people. Deglobalisation is much less evident for finance, with the exception of foreign direct investment, although attempts by the US and China to downsize portfolio investment and cross-border lending are emerging.


About the authors

Alicia García-Herrero is the Chief Economist for Asia Pacific at Natixis. She also serves as a Senior Fellow at European thinktank BRUEGEL and a non-resident Research Fellow at Real Instituto Elcano think tank. She is currently an Adjunct Professor at the Hong Kong University of Science and Technology. She is also a Faculty Associate of HKUST IEMS. More >>

Junyu Tan is an economist in Natixis and a candidate for Chartered Financial Analyst (CFA).

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