Globalisation could have 'run its course' in its current form, says chair of HSBC

Globalisation "may have now run its course" in its current form, according to the chair of HSBC, as geopolitical tensions and US tariffs threaten to upend existing global trade.

- Julia Kollewe

Speaking at the bank's global investment summit in Hong Kong yesterday, Sir Mark Tucker warned that trade tensions created uncertainty that posed a "serious potential risk to global growth", in remarks reported by the Financial Times. He predicted stronger economic ties would develop between regional groups and trade blocs.

Since starting his second term as US president in late January, Donald Trump has imposed various tariffs on leading trading partners such as Canada, Mexico and China, as well as global steel and aluminium tariffs. The EU has announced retaliatory measures from April, while the UK has chosen to adopt a "pragmatic approach" while it tries to negotiate a wider trade deal with the US.

On 2 April, the Trump administration will announce "reciprocal tariffs" on countries around the world.