The recovery in global trade over the past two years is slowing sharply, Fitch Ratings said on Thursday.
The rating agency expects international trade to grow by 1.9% this year, well below the 5.5% growth rate in 2022, and global GDP to expand by 2%, down from 2.7% last year.
"With globalization stalling, trade growth seems unlikely to outpace GDP in the medium term." Fitch said.
Since the conflict between Russia and Ukraine erupted last year, there have been major turbulences in global trade. In particular, Russia's energy exports have shifted from Europe to Asia.
However, Fitch also noted that while there are some signs of a shift in trade, there is no evidence at this stage that globalization is being reversed.
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