The United States will soon have no means to dictate the rest of the world the conditions of international trade. We do not know in detail how the nations of the planet will respond to this new price. But one thing is for sure: any possible recruitment of business and financial exchanges in the world will rely on the decision of countries that make the largest part of the world production.
Obviously, Chinese trade policy with an annual gross domestic product (GDP) of $ 35,000 billion will weigh much harder than Vanuatu, with GDP barely $ 1 billion! The strong reaction of markets on the stock market to the repression of China has already begun to prove it. The anti -ofate she has just stored shows that they are no longer afraid of so -called American hegemonies. The same applies to the beautiful “Gallic Village” that 27 Member States of the European Union, which did not hesitate to retaliate to the price attack of uncle alone.
The above image shows how global economic production is distributed. At first it shows that the United States will no longer hold the big end of the wand. In 2023, their $ 28,000 billion in world production was only 15 % of 184 000 billion. In addition, this part is constantly back for 25 years. In 1999 it was 21 %.
Secondly, the share of the European block, which consisted of 27 Member States of the European Union added from the United Kingdom, Norway, Switzerland and Iceland, has also decreased over the past 25 years. But 18 % of the world’s GDP in 2023 was increasingly than 15 % of the United States. Europe, notice it, it’s bigger than the United States.
For the third time, we will notice that China (including Hong Kong) monopolized 19 % of the world production in 2023. Its domination at the peak of the economic stage is absolute. His share of world GDP has experienced a dazzling expansion for a quarter of a century. In 1999 it showed only 7 %, but managed to stylize the United States since 2017. In addition, its future economic growth potential remains considerable, as the average standard of living of its population (its GDP per capita) equivalent only in 2023 to 30 % of the American population. It is far from being completed by its life level catch. Of course, anything can happen in the upcoming decades, but it is clear that China’s total GDP has the opportunity to rise even beyond the United States. Americans realize this and obviously do not like the idea that they have become the second violin of the world economy after they dominated it without sharing since the end of XIXE century. Contemporary economic and political tensions between China and the United States clearly reveal this. Hopefully, we are not leading us to the edge of the nuclear conflict, as was the case with the confrontation between Russia and the United States in 1962.
For the fourth time, we can see that the Asian economy bears not only China, but in all 15 largest countries in East and South Asia, whose collective part of the world economy reached 23 %in 2023. The four most important GDPs are among them in India, Japan, Indonesia and South Korea (15 % of the overall world). Other countries include Australia, Tai -wan, Thailand, Bangladesh, Pakistan and Vietnam. The share of world GDP produced by this group 15 has increased for 25 years, but less than China’s share, as India’s procedure was abolished by a decline in Japan. The remarkable fact is that if we add the weights of China and Eastern and South Asia, we can see that in 2023 the Asian continent as a whole was 42 % of the world’s source. Here is the economic future of the planet.
Finally, the fifth, disparate all of all other countries had 25 %of world production in 2023. In particular, Canada and its share of 1.4 %in Russia (3.5 %), Brazil (2.4 %), Turkey (1.8 %), Mexico (1.7 %) and Egypt) are found.
If this persists, the new aggressive and unstable pricing policy of the United States distances the US economy from international trades. It will be a loss for the global economy. However, it is bypass because the weight of the United States is only 15 % and that it is still weakening in the face of Asia. Over time, they can replace New York very well in Finance, Tokyo, Shanghai, Euronext and Mumbai. In technology, Chinese and European “Silicon Valley” have already been competition for the competition of California and Texas.
What about Canada? To some extent, it can diversify its business and financial stock exchanges by also giving up from the United States. However, the South will always need natural resources in the north. In addition, economic exchanges are the subject of an analogue of the universal law on Gravity Newton, which wants more heavenly bodies to be large and close, the more attractive. Economic exchanges are therefore greater when GDP is larger and when the distance between shopping countries is shorter. Canadian exchanges will like or not, they will always attract around the large American GDP, which is next door. The Gravitational Law will always dictate to make the United States its main business partner.