The Renaissance of Economic Warfare

From the use of tariffs as a foreign policy instrument, to the weaponization of critical resources, and from targeted sanctions to attacks on critical infrastructure, economic security is at the forefront of international debates. The aggressive use of economic instruments for strategic purposes has become an explicit feature of international affairs, in a way not seen since the interwar period[1]. Beyond the weaponization of resources of all kinds, an increasing ‘monetization’ is underway of hard power for national economic benefit. This development draws on a long intellectual tradition and enduring perceptions of vulnerability, but with new technological twists. What are the contours of this renaissance in economic warfare, and what are the possible consequences?

[1] Economic warfare has a range of meanings. It may refer to the use of economic instruments in conflict, in place of armed conflict, or as a form of coercive diplomacy, even between allies. It may be applied against states, organizations, or even individuals.