DO TENSIONS IN THE SOUTH CHINA SEA HERALD THE COLLAPSE OF GLOBAL SUPPLY CHAINS?
DO TENSIONS IN THE SOUTH CHINA SEA HERALD THE COLLAPSE OF GLOBAL SUPPLY CHAINS?
Gilles Paché
CERGAM Lab, Aix-Marseille University, France
ABSTRACT
It is now widely recognized that geopolitical tensions disrupt global supply chains, complicating trade flows and increasing the risk associated with logistics operations. The South China Sea, a strategic and disputed region of the world, is a perfect illustration of the stakes involved in these disruptions. Situated between several Asian countries, the region is crucial to world trade, but is subject to territorial conflicts, notably between China and Taiwan. Its increasing militarization and abundance of natural resources exacerbate geopolitical tensions, given that the South China Sea is vital for the transportation of goods, linking Asian, European and American markets. My speculative paper looks at the possible collapse of certain global value chains under the pressure of geopolitical tensions, leading to the emergence of a logistically multipolar planet.
KEYWORDS
Economic history, Geopolitics, Global supply chains, Logistical disruptions, South China Sea, Territorial disputes
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