Global trade is undergoing a major shift as the US moves away from liberalisation and multilateralism toward nationalism, protectionism, and bilateralism. This reversal challenges decades of WTO-driven global integration and poses economic risks for developing countries like India.

BulletsIn

• Washington Consensus enabled LPG: liberalisation, privatisation, globalisation
• US shift to NPB: nationalism, protectionism, bilateralism reshapes trade
• Tariffs at highest since 1933; national security used to shield key sectors
• Protectionism shrinking innovation; EV and tech industries face limited competition
• US views trade deficits as unfair, targets Indian shrimp, exports, labour cost advantage
• Tariffs jump to $195B in 2025; solar-panel barriers raise US consumer costs
• Ending de minimis rule hurts MSMEs; Indian artisans face higher shipping/customs
• Labour protectionism: H-1B restrictions, ICE raids hurting foreign skilled workers
• Bilateralism undermines WTO’s MFN principle; geopolitics drives market access
• Global spread of NPB: EU “strategic autonomy”, China “dual circulation”, 3,000+ protectionist measures
• NPB risks slower growth, higher poverty; LPG flaws remain but lifted billions
• India urged to protect interests via new alliances, not 1970s-style isolationism