"With the sanctions against Russia, it adds to the concern about scarcity of oil," says Council Distinguished Nonresident Fellow Lord Jim O'Neill. "It's not surprising that the markets are freaked out about this."
"The markets can take it for a short amount of time," Council Senior Nonresident Fellow Rachel Bronson says. "Beyond that—very difficult. Prices will increase, [and] people will feel it at home."
Even before the Supreme Court’s decision to overturn most of US President Donald Trump’s tariffs, historic allies had begun actively exploring economic relationships with other nations.
After months of punitive US tariffs, President Trump and Prime Minister Modi announced a trade deal between the world’s two largest democracies. But India has been following a now familiar pattern—building resilience in the face of a disruptive Washington.
The free trade agreement between India and the European Union is a bold statement by middle powers, demonstrating to both the US and China that there could be better alternatives in a multipolar world.
Council President and CEO Leslie Vinjamuri joins BBC News to discuss Starmer's trip to Beijing and what it signals about the UK-China relationship moving forward.
"My fear is that this could lead to a very, very escalatory trade war," Council President and CEO Leslie Vinjamuri says of rising transatlantic tensions.
