In this article for the New Indian Express, Shankkar Aiyer writes about the spread of fear as the coronavirus crisis continues to make an impact on the global economy. He examines whether this could lead to de-risking efforts to decentralize dependence on China. Excerpt below:
"On the face of it the contagion is propelled by stated causes. But the imploding anxiety is about unstated causes — about the lynchpin status of China in the global supply chain...The dent in the balance sheets of nations and transnationals will accelerate subscription of the thesis of de-risking growth away from the centrality of China in the story....The case for de-risking merits attention in the context of where globalisation is at — for shifting production to other centres to other geographies such as Mexico, India and Bangladesh. Yes the price economics would be daunting given the scale that drives China’s competitiveness."
Read the full article here.