(Finbarr Bermingham – Global Trade Review)
After years of outstripping global GDP, the growth of world trade is set to remain in line with GDP, according to a noted economist.
Frederic Neumann, who heads up HSBC’s Asia research, tells GTR that the halcyon days of global trade expanding at twice the rate of GDP are gone.
“Since the financial crisis, momentum has stalled and we expect exports in the coming years to expand more in line with global GDP growth. Big importing economies, especially the US and Europe, are no longer growing as briskly but import penetration in countries that are growing faster are either too small to make up the difference or are not as import intensive in their growth, such as China,” Neumann says. Click here to read more.