The global economic landscape is bracing for impact as the US implements unprecedented tariff hikes, sparking concerns about supply chains, inflation, and trade stability. Industry leaders Sir Martin Sorrell, founder of S4 Capital, and Miguel Angel Lopez Borrego, CEO of Thyssenkrupp, share strategic insights on mitigating risks and fostering resilience amid rising protectionism.
Sorrell emphasized the inevitability of short-term disruptions but highlighted opportunities in regional diversification. “Businesses must rethink overconcentration in single markets,” he noted, urging companies to leverage digital infrastructure for agile market adaptation.
Borrego underscored industrial collaboration as critical, stating: “Climate tech and renewable energy partnerships could offset trade bottlenecks while aligning with sustainable development goals.” Both experts called for accelerated innovation investments to reduce long-term dependency on volatile trade policies.
For Asia’s export-driven economies, analysts suggest prioritizing multilateral trade frameworks like RCEP while strengthening domestic demand. The World Bank estimates a 0.8% potential GDP contraction in emerging markets if tariffs persist through 2025.
As businesses worldwide navigate this new reality, agility and cross-sector cooperation emerge as key themes for sustaining growth in an era of economic recalibration.
