According to the World Economic Forum’s Global Risks Report 2026, rising economic confrontations between major powers have overtaken traditional threats like armed conflict to become the most pressing risk to global stability in the short term. The annual survey of over 1,300 experts from government, business, academia, and civil society found “geoeconomic confrontation” — encompassing tools such as tariffs, sanctions, investment restrictions and competition for critical resources — as the top risk most likely to trigger a crisis in 2026 and over the next two years.
Experts highlighted that economic instruments are increasingly being used as extensions of geopolitical strategy, particularly in tensions between the United States, China and other global powers, threatening global supply chains, trade flows and diplomatic cooperation. This trend reflects a broader shift toward a more fragmented and competitive international order, with half of respondents anticipating a “turbulent or stormy” global outlook in the near term.
While longer-term concerns like climate change, biodiversity loss and technological risks remain significant over a decade, the shift toward economic rivalry as the top immediate risk underscores how economic policy has become a core front in great-power competition. news as reported.
