What: The G7's role in fostering global cooperation becomes increasingly critical as trade protectionism rises, with BCG analysis showing potential economic gains of USD 8.5 trillion across G7 nations through a more predictable trading system.

Why it is important: As retailers face unprecedented supply chain disruption and trade uncertainty, the need for coordinated international response becomes crucial for maintaining operational stability and fostering sustainable growth.

The global international order faces extraordinary disruption as trade protectionism rises and coordination diminishes. The G7's role as a cornerstone of global cooperation becomes increasingly vital, particularly in addressing complex challenges affecting trade and economic stability. The article identifies several critical areas requiring immediate attention, including critical minerals supply, where demand could surge by 800% by 2040, and the need for predictable trade frameworks to unlock potential economic gains of USD 8.5 trillion. The integration of AI presents both opportunities and challenges, with potential GDP increases of USD 7 trillion worldwide by 2030. Additionally, the article highlights the importance of energy security and infrastructure investment, with projected needs of USD 41-57 trillion for solar and wind deployment alone by 2050. These challenges require coordinated responses across borders, emphasising the G7's crucial role in fostering international cooperation and economic resilience.

IADS Notes: The article's emphasis on global cooperation resonates with recent retail industry developments. In May 2025, retailers began abandoning traditional "just-in-time" models in favor of more resilient supply chain strategies , implementing AI-powered analytics to navigate trade complexities. This transformation accelerated as companies established geopolitical nerve centers to coordinate responses to trade disruptions, driven by projected additional import costs of USD 640 billion. The urgency became evident when new US tariffs targeting 60 countries forced retailers to fundamentally restructure their supply chains, exemplified by companies offering higher procurement prices to relocate manufacturing.

As globalisation weakens, the value of cooperation rises