The New Economic Walls Are Rising – Who Wins?
Just when globalization felt unstoppable, protectionism is back with a vengeance.
The G7, U.S., Canada, UK, Germany, France, Italy, and Japan are rolling out tariffs, subsidies, and trade walls at record pace.
From EV batteries to semiconductors, the G7 is reshaping the rules of global trade.
The result? A new investment era where geography, geopolitics, and government policy matter more than ever.
Here’s how protectionism is shifting the investor playbook.
The Protectionist Pivot: What’s Happening?
Over the past year, we’ve seen:
- U.S. tariffs on Chinese EVs, steel, and green tech
- EU anti-subsidy probes on Chinese solar panels
- Japan backing domestic chip giants with billions in subsidies
Even “free trade” advocates are picking winners, using industrial policy to secure national interests.
This isn’t just about China. It’s about reshoring, decoupling, and controlling critical supply chains.
How Investors Must Adapt
- The Rise of Domestic Champions
Governments are backing national industries and so are investors.
Look for:
- U.S. chipmakers (NVIDIA, Intel)
- European renewables
- Japanese battery tech
- African and Lat-Am suppliers outside the U.S.-China fight
Invest where the government money flows.
- Country Risk Just Got Real
Emerging markets once rode the globalization wave. Now they face fragmented trade and higher export barriers.
Risk increases for:
- Export-dependent Asian tigers
- Chinese tech giants facing Western pushback
- Countries lacking trade alliances or local demand
Global supply chains are becoming security chains.
- Inflation-Proof Sectors Win
Tariffs raise costs and investors are shifting into:
- Energy (especially nuclear and oil majors)
- Agriculture (global food security is key)
- Defense (yes, protectionism also means protection)
Price power = profit power.
Juggernut Insight:
Global protectionism is here to stay and passive global diversification is no longer enough.
Smart investors are rethinking:
- Sector bets
- Country exposure
- Supply chain stability
This isn’t deglobalization.
It’s strategic realignment.
And it’s changing everything from Lagos to New York.