Weaponization of Trade: How States Leverage Economic Power for Strategic Gains

In the aftermath of the devastating World Wars, international efforts have focused on preventing future conflicts through mechanisms like trade and economic interdependence. However, the weaponization of trade has emerged as a concerning trend, particularly evident in China’s recent actions against countries such as Norway and Australia. This practice involves using trade as a coercive tool to achieve political and strategic influence, compelling target states to comply with demands or face severe economic consequences. Non-tariff barriers and opaque measures make it challenging to address this issue, but solutions lie in diversifying trade partnerships and fostering cooperation with like-minded nations. India, while facing potential risks due to its reliance on China for pharmaceuticals, has not yet experienced significant weaponization of trade but remains vulnerable to such tactics.

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