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Friday, September 24, 2021

Davos: resounding absences despite the risk of trade war

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The participation of the political leadership of the West in this year's Davos meeting is expected to be degraded. After Angela Merkel and Emmanuel Macron, the United States will be represented at the ministerial level. The reason must be sought in the fact that many countries are currently facing severe problems and crises, which forces the leaders to remain in place and not to take part in the world meeting held in this Swiss city.

The main threat is a generalized trade war

The main issue to be discussed at the forthcoming meeting from 22 to 25 February will be trade disputes between countries, tensions in international relations, Brexit, but also the warnings of international organizations for a new period of economic recession.

In this direction was the Forum report on global dangers that was published last week and shook the waters. The report includes a simple warning that frontal winds are looming over the economy, in part because of the geopolitical tension between the major powers.

About 3.000 businessmen, government officials and prominent civil society figures are expected to gather at the snow-covered resort, including just three leaders from the G7 group: Japanese Prime Minister Shinzo Abe and German Kangaroo Angela Merkel and Italian Prime Minister Giuseppe Conte.

The big absentees
Donald Trump canceled his participation in this year's forum as the partial suspension of the federal state, the so-called shutdown, continues. Neither the French counterpart of Emanuel Macron will travel to Switzerland, as he tries to calm down the protesters of the 'yellow vests', while Theresa May is struggling to find a solution for Brexit.

The leaders of Russia and India will not attend the Davos summit either, while China - whose president Xi Jinping was the first Chinese leader to attend the meeting in 2017 - will send its vice president.

The absences will result in US Treasury Secretary Steven Mnuchin and British counterpart Philip Hammond, Chinese Vice President Wang Qishan and a number of central bankers taking on the task of reassuring business leaders.

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