The Impacts Of Covid-19 On Global Trade

Abstract

As the coronavirus emerged in china and spread, globally, authorities have acted to limit its spread. Experience with similar diseases reveals that while the human costs are significant, the bulk of the economic costs are due to the preventive behaviour of individuals and the transmission control policies of governments. Meanwhile, the dollar value of world merchandise exports in 2019 fell by 3% to US $18.89 trillion. In contrast, world commercial services trade increased in 2019, with exports in dollar terms rising by 2% to US $ 6.03 trillion. Early indications of the economic costs and the magnitude of estimated impacts demonstrate the need for a co-ordinated international response to the crisis. A global crisis requires a global response and there is a need for global collaboration not just on health, but also on trade, finance and macroeconomic policies.