How sanctions and geopolitics affect trade

How has the war in Ukraine affected international trade? Bruegel provides an analysis. Russia is finding new import resources, per the Silverado Policy Accelerator. Less than nine percent of Western firms have divested from Russia, finds Simon J. Evenett and Niccolò Pisani in a new study. Despite strains and calls for decoupling, US-China trade is on track to break records, reports Bloomberg. Brazil and Argentina will develop a new unit of account to facilitate trade (other than the US Dollar), according to MarketWatch.

Mentioned publications

The impact of the Ukraine crisis on international trade – Zsolt Darvas and Catarina Martins, Bruegel, December 20, 2022
The impact of the war is felt, but may not be determining current trade flows.
Russia Shifting Import Sources Amid U.S. and Allied Export Restrictions: China Feeding Russia's Technology Demands – Andrew David, Sarah Stewart, Meagan Reid, and Dmitri Alperovitch, Silverado Policy Accelerator, January 2023
Despite sanctions, Russia continues to have access to dual-use technologies.
Less Than Nine Percent of Western Firms Have Divested from Russia – Simon J. Evenett and Niccolò Pisani, SSRN, December 20, 2022
Study shows that only 8.5% of EU and G7 companies had divested at least one of their Russian subsidiaries.
US-China Trade Is Close to a Record, Defying Talk of Decoupling – Daniel Flatley, Bloomberg, January 17, 2023
2022 US-China trade flows are on track to break records.
No, Brazil and Argentina aren’t planning a South American version of the euro. Here’s what’s going on. – William Watts, MarketWatch, January 23, 2023
Brazil and Argentina propose creating a unit of account to help facilitate trade.