Driving Globalisation on the slow lane

Globalisation has started to lose its momentum as European Union and the U.S. are putting on the brakes to retard its driving force. Failed attempt of China National Offshore Oil Corp in acquisition of US based company, Unocal, uproar over Dubai-based organisation running US port, and troublesome planned merger of German energy giant E.ON and Spain’s Endesa, shows that even the world most globalised nations are fettered by economic nationalism.

Segregated world has no long term winner. The Europeans have reaped considerable benefits from single European market, which was implemented in 1993, while foreign investment in world market has contributed spectacular amount to its GDP. However, recent wave of protest appealing greater protection from the government in the face of global competition has, by and large, impeded progress of further economic integration. Perhaps, “Asia will be the biggest loser, finding its route into league of multinationals dull of obstacles”, but Europeans and Americans will end up the permanent losers.

Asia is the most populated continent which is rich in human resources, as well as natural resources. The prospect of future economic power of Asia is unconceivable, especially as the world see China and India emerging as the world’s fastest growing economy. Should EU and the US close its market, they isolate themselves from the world’s biggest market.