yellen1_ BRENDAN SMIALOWSKI_AFP_via Getty Images BRENDAN SMIALOWSKI/AFP_via Getty Images

Resilient Trade

The past three years have been a uniquely volatile period in our modern history. But it may also be viewed as the moment when the United States and its partners established a new pillar of our economic policymaking, one focused on secure trade.

WASHINGTON, DC – Economies across the world have been strained by the events of the last three years. The COVID-19 pandemic claimed millions of lives and brought the world economy to a standstill. Russia’s brutal war has taken a devastating toll on lives and infrastructure in Ukraine, generating seismic repercussions for oil and food prices at a time when the global economy was finding its footing.

Looming above these crises has been climate change. Severe droughts and floods have disrupted agricultural capacity and exacerbated energy shortages around the world. These disruptions have resulted in severe shortages of key goods – from lumber to microprocessors to food and fuel – that have in turn slowed global growth and contributed to high inflation in many economies. In the developing world, we have seen a rise in poverty for the first time in decades.

Over the past year, US President Joe Biden’s administration has advanced a historic economic plan to strengthen America’s resilience against costly supply disruptions like the ones we have experienced. Here at home, we have built on our work to ease bottlenecks in ports with ongoing monitoring of our supply chains and a historic investment in our physical infrastructure. And we have passed legislation that will expand domestic manufacturing capacity in core twenty-first-century sectors like semiconductors and clean energy.