For much of the post-Cold War era, globalisation was presented not merely as a trajectory but as a universal pathway, one that would integrate economies, societies, and political systems into a shared, increasingly cooperative order. This narrative, however, was never neutral. It reflected a particular historical moment shaped by Western dominance, in which globalisation appeared as both an economic process and a normative project. It promised a future where interdependence would soften geopolitical rivalry and constrain the exercise of power. Today, that promise appears less like an inevitability and more like a historical assumption under strain. Rather than dissolving geopolitics, globalisation is increasingly being reshaped by it. Building on Eswar Prasad’s analysis in Foreign Affairs (2026), this article argues that the current shift is not simply a disruption of globalisation, but a revealing moment, one that exposes how global economic integration has always been entangled with power, hierarchy, and strategic interest.

This shift has been gradual but cumulative. One of its key drivers lies in the uneven distribution of the benefits of globalisation. While global economic integration has generated aggregate growth, its domestic consequences have been far from evenly shared. In many advanced economies, globalisation has contributed to de-industrialisation, labour displacement, and widening inequality. Communities once anchored in manufacturing have experienced long-term economic decline, even as global markets expanded. Domestic tensions do not remain confined within national borders; they scale up into systemic consequences. As Prasad (2026) suggests, socio-economic disruptions have translated into political backlash, fuelling populist movements and protectionist policies that challenge the foundations of the liberal international order. Globalisation, in this sense, has not only economic consequences but also profound political implications: it has eroded the very legitimacy that once sustained it.

This erosion of legitimacy intersects with a second, more structural transformation: the intensification of great power competition. At the systemic level, rivalry—particularly between the United States and China has further accelerated the reconfiguration of globalisation. What was once framed as a mutually beneficial economic relationship has increasingly evolved into a strategic contest. Trade disputes, technological restrictions, and financial decoupling are not isolated developments, but manifestations of a deeper geopolitical shift. As this rivalry deepens, the meaning of interdependence itself begins to change. Economic interdependence, long viewed as a stabilising force, is now increasingly perceived as a source of vulnerability. States are becoming more cautious about their exposure to strategic competitors, particularly in critical sectors........

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