A Conceptual Perspective on the Politicization of International Trade and the Restructuring of Supply Chains in the Age of Geopolitical Risk

International Journal of Economics and Management Studies

© 2025 by SSRG - IJEMS Journal

Volume 12 Issue 12

Year of Publication : 2025

Authors : M. Ali Koçakoğlu, Özlem Koçakoğlu

10.14445/23939125/IJEMS-V12I12P101

How to Cite?

M. Ali Koçakoğlu, Özlem Koçakoğlu, "A Conceptual Perspective on the Politicization of International Trade and the Restructuring of Supply Chains in the Age of Geopolitical Risk," SSRG International Journal of Economics and Management Studies, vol. 12,  no. 12, pp. 1-7, 2025. Crossref, https://doi.org/10.14445/23939125/IJEMS-V12I12P101

Abstract:

Over the past decade, the International Economic Order has been undergoing a profound transformation as Geopolitical competition deepens. The efficiency-oriented global integration model assumed by traditional international trade theories is gradually being replaced by a security-centered economic structure. This study examines, within a conceptual framework, how processes such as the rise of geopolitical risk, the restructuring of risk-based supply chains, friend-shoring, near-shoring, and strategic decoupling shape the phenomenon of “Trade Politicization”. For this purpose, we systematically evaluated the theoretical and empirical debates in the literature. As a result of the evaluation, we saw that states intervened to prevent these increasing risks from disrupting economic security. We have determined that these interventions lead to the politicization of trade and ultimately to supply chain restructuring. The study discusses the implications of Geoeconomic Fragmentation (GEF) for international economic theory and policymaking, pointing to future research areas.

Keywords:

Geopolitical Risk, Trade Politicization, Geoeconomics, Economic Security, Supply Chains.

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