The End of the World Is Just the Beginning: Mapping the Collapse of Globalization

In 2021, COVID changed demand, which led to shortages of goods. Supply changes would characterize a de-globalized world. Until the 1700s, the making of goods required organizational simplicity. The Industrial Revolution changed that. First, it made large volumes of steel accessible without the need to forge it, a development that allowed specialists to collaborate. Second, it introduced precision manufacturing in tools and molds, which enabled standardization and scale. Third, the introduction of fossil fuels created “an explosion in material science applications” (326), expanding product reach. While divisions of labor thus became more complex, the lack of trade route security confined economies of scale within the borders of each country.

In the post-World War II era, when the US guaranteed trade route security and with the advent of containerized shipping, cross-border integration became commonplace and complex. The text cites blue jeans as an example, highlighting the multiple number of countries involved in the manufacture of one pair. With the end of the Cold War, “truly global” differentiation was common for almost every manufactured product. Relying on cheap and quick shipments, manufacturers began using a “just-in-time” (333) model of inventory, in which they do not stock goods or parts but obtain them as needed, a practice that helps cash flow.