Geopolitical risk, sanctions, and covid in China are redefining how we think about the future of global supply chains. Nations must start considering how to better secure their supply chains through regional trade partnerships, reshoring essential manufacturing capabilities, and sourcing goods from multiple nations and regions.

Differences over the rules for world affairs will not be resolved easily and won’t be resolved in favor the U.S. Countries are interdependent, and a divided world serves no one’s best interests.

The Ukraine crisis has demolished many boundaries. It was out of control from the beginning, since Russia, Ukraine and the U.S. are all unwilling or unable to compromise. Time will tell, though it may not indicate which side to take.

In The Economic Weapon: The Rise of Sanctions as a Tool of Modern War, historian Nicholas Mulder reminds us that even when Britain and Russia were savagely battling each other during the 1853-56 Crimean War, they continued to service their debts to each other. Likewise, when hedge funds launched predatory attacks on Asian currencies during the 1990s Asian financial crisis, they ultimately still played by the rules (even though their unethical behavior brought some East Asian countries’ economic progress to a halt).

Economic globalization — with more participants — is in Europe’s interest. Following the lead of the United States and kicking Russia and its allies out of the international system will only cause global fragmentation.

U.S. President Joe Biden often talks about leading the world. But if sanctions are what he meant, and if abusing the national security exception against WTO members is the means, the global economic system would be better off without America.

Economic sanctions against Russia have laid bare the limits of Western-controlled financial infrastructure, and may have exposed some misguided preconceptions about how the global economy is evaluated.

While the United States and its Western allies might wish that China would adopt their position and help to mediate an end to the crisis, China has crafted a stance that conforms to its own interests. It simply doesn’ t have the influence other countries may imagine.

The U.S. and India are currently in a sort of golden age of relations - both of them using the other to build up capital against China’s influence. However, India’s Cold War history with Russia leaves it on shaky terms with the U.S. amid the Ukraine crisis, and adds an unforeseen wrinkle to America’s best-laid plans for the region.

The Russia-Ukraine War is driving global change in both the economic and security domains. China and the United States will face a different world than existed before the Russian military operation that began on February 24.