Trade blocs and economic power shifts
The U.S. is re-positioning its foreign economic policy amid an emerging multipolar order defined by China, India, and the EU. Global growth is now regionally fragmented, while “friend-shoring” and technology sanctions dominate the new playbook.
Table 1. Global GDP Shares (%)
| Region | 2010 | 2020 | 2025 (f) |
|---|---|---|---|
| United States | 23.7 | 24.5 | 25.0 |
| China | 9.2 | 17.8 | 17.4 |
| EU | 22.0 | 17.1 | 16.6 |
| India | 2.6 | 3.7 | 4.5 |
Sources: IMF WEO 2025.
Table 2. U.S. Goods Trade by Region ($ B)
| Partner Block | Exports 2023 | Imports 2023 | Net Balance |
|---|---|---|---|
| North America (USMCA) | 723 | 860 | -137 |
| Asia (ex-China) | 320 | 405 | -85 |
| China | 152 | 429 | -277 |
| EU | 355 | 422 | -67 |
Sources: BEA Trade Accounts.
Strategic framing
Washington’s “economic security” agenda fuses supply-chain resilience with geopolitical alignment. The outcome: slower global trade growth but more stable alliances.
Leadership takeaway
Executives must anticipate regulatory divergence across blocs and embed geopolitical risk scoring into investment planning. Regional redundancy will define resilience.