Former European Central Bank president Mario Draghi has issued a stark warning about the global system that shaped trade and security for decades. He said the current world order is \u201cdefunct\u201d and \u201cdead\u201d, and he urged Europe to act fast to protect its interests.<\/p>\n\n\n\n
Draghi delivered the remarks during an event at KU Leuven in Leuven. He framed the moment as a turning point for Europe\u2019s economy and security.<\/p>\n\n\n\n
Draghi argued that a world with \u201cless trade and weaker rules\u201d would hurt, but it would not be the core danger. Instead, he said the bigger threat is what replaces the old model.<\/p>\n\n\n\n
He pointed to rising pressure from major powers. He warned that United States policy now leans more openly on leverage, including tariffs and hard bargaining. He also said Europe cannot ignore how rivals may use supply chains and market access as tools.<\/p>\n\n\n\n
Draghi\u2019s main message focused on unity. He said Europe risks becoming \u201csubordinated, divided and deindustrialised\u201d if it stays fragmented. In his view, internal splits weaken Europe\u2019s ability to respond.<\/p>\n\n\n\n
He called for deeper integration on defence, industrial policy and foreign affairs. He also argued that Europe\u2019s current setup leaves it exposed when fast decisions matter.<\/p>\n\n\n\n
Draghi also highlighted a mismatch. Europe can act as a trade heavyweight, yet it still relies on others for security and key inputs. As a result, he warned that partners can turn that dependence into bargaining power.<\/p>\n\n\n\n
He also singled out China as a strategic competitor in supply chains. He said control over critical nodes can create pressure points for other economies.<\/p>\n\n\n\n
Draghi\u2019s warning lands as governments rethink supply chains, energy security and technology dependence. That shift also matters in Asia, where export-led economies track changes in global rules closely.<\/p>\n\n\n\n
For Singapore-based businesses, the signal is familiar. Uncertainty now shapes trade, costs and investment decisions, especially when big powers use policy tools more aggressively. Draghi\u2019s message adds to that picture: the old playbook is fading, and the next one could prove more volatile.<\/p>","protected":false},"excerpt":{"rendered":"
Former European Central Bank president Mario Draghi has issued a stark warning about the global system that shaped trade and security for decades. He said the current world order is \u201cdefunct\u201d and \u201cdead\u201d, and he urged Europe to act fast to protect its interests. Draghi delivered the remarks during an event at KU Leuven in […]<\/p>\n","protected":false},"author":3,"featured_media":3425,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[16],"tags":[],"class_list":["post-3424","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-world"],"blocksy_meta":[],"yoast_head":"\n