Borderless? Think again as notion of unfettered globalisation is tenuous

borderless world' was first propagated by Kenichi Ohmae, author of The Mind of the Strategist, in the 1990s. He predicted an era in which national boundaries would become less significant, and the free flow of goods, services, capital and information would define global trade and commerce.

His theory embodied the zeitgeist of late 20th-century trade. The dawn of the 21st century appeared to vindicate his foresight, with trade liberalisation, tech breakthroughs, and MNCs propelling the globe toward economic interdependence. But the question now is whether idealism survives the political opportunism.

The Trump administration's tariffs and economic nationalism raise the question of whether the era of a borderless world is coming to an end. With political slogans such as 'America First', and MAGA, Trump seeks to recalibrate trade dynamics by imposing punitive tariffs on imports from countries like Canada, Mexico, India and China.

The notion that cheaper labour and raw materials in some countries have driven domestic manufacturing out has prompted this aggressive protectionism. Some industries insulated from global supply chains may have benefited in the short term, but the larger economic impact could be far more complex and disruptive.

Historically, tariffs delivered tenuous reprieves to a few US enterprises, but their unintended consequences were profound. The US auto industry is a classic case. Dependent on cross-border supply chains, auto manufacturers saw mounting costs, resulting in higher vehicle prices,