We are once again seeing the geostrategic structures and frameworks that have underpinned the global order for the last eighty years being stretched to the limit.
The war in Iran (though President Trump has still neither asked for nor received the approval from Congress that would allow it to officially be called that) continues to create tensions both across the region and on a wider global scale.
Despite claiming total victory, including the destruction of Iran’s military capacity, Trump has called for China, France, Japan, South Korea, Britain and others to send warships to help protect the Strait of Hormuz, the critical oil supply route that is currently controlled by Iran.
Australia, Italy and Germany have all publicly refused any such aid, with Germany’s response capturing the feeling of other potential allies.
A spokesperson for German Chancellor Friedrich Merz said “It is not NATO’s war. NATO is an alliance to defend the alliance area. The United States did not consult us before this war, and so we believe this is not a matter for NATO or the German government.” Defence Minister Boris Pistorius followed up with “This is not our war. We have not started it. What does Donald Trump expect a handful or two handfuls of European frigates to do in the Strait of Hormuz that the powerful US Navy cannot do?”
With the loss of a significant proportion of the world’s oil supply, pressures are being felt in multiple arenas. The relaxing of US sanctions against Russia, to allow them to export oil to the world markets, has meant that President Putin’s war economy has received a significant boost and it is perceived that Putin and Russia are perhaps the only beneficiaries of the war.
The impact on household budgets around the world is having a significant effect, and it is likely that there will be pressure on governments to respond to the hard-hitting consequences of rising inflation.
To discuss these and other issues that are impacting you wherever you are in the world, please join us for Global Risk Forums 422 and 423, and add your voice to our global dialogue.
- Global Risk Forum 422
- Thursday, 19th March at 17:00 GMT / 13:00 EDT
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- Global Risk Forum 423
- Friday, 20th March at 10:00 GMT
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