AN INQUIRY INTO GLOBAL TRADE WARS AND THEIR EFFECTS ON EMERGING ECONOMIES

Author: Mrs. Teena Thomas, M.Com CA., PGDCA and SANJITH C A

Published On: 2025-04-15

DOI: https://doi.org/10.70127/irjedt.vol.8.issue04.970

This inquiry explores the complex dynamics of global trade wars and their multifaceted impacts on emerging economies. Trade wars, characterized by retaliatory tariffs and protectionist policies among major economies, have intensified in recent years, disrupting global supply chains and altering international trade patterns. Emerging economies, often reliant on exports and foreign investment, are particularly vulnerable to such disruptions. This study analyzes key case studies, including the U.S.–China trade conflict, to assess the effects on GDP growth, currency stability, trade balances, and industrial development in developing nations. Using a mixed-methods approach that combines economic data analysis with policy evaluation, the research highlights both the vulnerabilities and adaptive responses of emerging markets. The findings indicate that while some nations experience significant economic strain, others leverage the shifting trade landscape to diversify export markets and attract redirected investment. The study concludes that economic resilience in emerging economies is closely linked to flexible trade policies, strong institutions, and strategic global partnerships. These insights are crucial for policymakers aiming to safeguard development goals amid escalating global trade tensions.

Keywords: Trade Wars, Emerging Economies, Global Supply Chains, Economic Resilience, Foreign Investment.