The effects of the Russia-Ukraine War on international trade

Throughout history, wars and economic crises have had a profound impact on the global economy. In the short run, wars lead to a decrease in production capacity, labour force losses and a reshaping of public expenditures; in the long run, they create permanent problems such as a decrease in capital accumulation and destruction of infrastructure. These effects are not only limited to the countries at war, but also affect the global economy by causing interruptions in trade flows, disruptions in supply chains and a decrease in international investments. This study analyses the effects of the Russia-Ukraine war on international trade. The war caused major disruptions in global supply chains due to the strategic role of Russia and Ukraine in energy and agricultural production. Increases in energy prices threatened Europe's energy security, while uncertainties in the supply of agricultural products increased food security risks. Western sanctions against Russia have diminished the importance of traditional trade routes and led to the formation of new trade routes and alliances. This study analyses the effects of the Russia-Ukraine war on trade routes and economic relations at both the regional and global levels, offering important implications for policymakers and international trade actors.