Despite the various hurdles presented by inflated shipping costs and supply chain problems, the global trade market increased an astounding 23% in 2021 compared to the last year. Now estimated at $28 trillion, there are several global trading partners. And the biggest partner among them is China.
But that was not always the case. Before China landed the top spot, there was another name at the place for the most significant global trading partner - the United States. So how did China overtake the superpower? Let’s find out.
The story started in the 1960s when the US witnessed a post-war economic boom. They saw a rising middle class that brought about good economic growth. As a result, there was high demand for luxury goods, allowing various industries to start production.
At the same time, Europe too was going through some changes. Although Britain was the leading trading partner here, the countries were trying to band together to bring power and harmony. Around this time, the EFTA, or the European Free Trade Association too, was created to facilitate free trade agreements between several European countries.
Read more: https://www.emeriobanque.com/news/tracing-the-largest-global-trading-partners-from-1960-to-2020
