World leaders from the Group of 20 nations (G20) are meeting this week in Osaka, Japan, to discuss many of the world’s largest crises and disputes. Featuring leaders of the world’s largest economies, the meetings held at the G20 Summit can have considerable influence around the globe.
Issues on the agenda are likely to include the trade war between the United States and China, the brewing conflict between the United States and Iran, climate change, and potential reform of the World Trade Organization (WTO).
How It Will Impact Mobility
Many of the issues on the agenda at the G20 could have wide-ranging effects on the mobility industry. At the summit, President Donald Trump and Chinese President Xi Jinping are scheduled to meet and discuss the ongoing trade war between the United States and China. At the G20 Summit in Argentina last fall, the two leaders agreed to a 90-day truce on the trade war. While both leaders would likely appreciate an additional truce, there is much at stake and they each hold their positions tenaciously. Still, companies and consumers in both the U.S. and China are feeling the impact of the tariffs, so both leaders have incentives to reach a deal.
Already, companies are moving production and business out of China and other countries to alternative locations, and it is likely that these various trade talks will have an impact on the positioning of employees. Shifts in business practices and workforce mobility are likely to be part of the outcome when important talent markets negotiate with the U.S.
While in Japan, world leaders will also work at ending the standoff between the United States and Iran. This conflict will test the relationship between the U.S. and global leaders. The U.S. would like to build a global coalition to respond to Iran, but many other leaders are still frustrated that the U.S. pulled out of the Iran nuclear deal. The U.S. has re-imposed sanctions on Iran, including new ones this week that will keep Supreme Leader Ali Khamenei from accessing financial instruments. (From a mobility perspective, it will be important to ensure that your compliance department is staying up to date on any changes to sanctions.)
Climate change and environmental issues also will be front and center in Osaka. French President Emmanuel Macron has already said that France will not sign on to any joint statement from the Summit that does not include mention of the 2015 Paris Climate Accord. It is very clear that the G20 nations have different approaches and levels of urgency with regard to addressing climate change. Multilateral deals like the Paris Climate Accord are sure to impact the movement of talent as countries go through energy transitions.
Meetings between important heads of state at the G20 Summit can have an enormous impact on the global economy. To keep you informed, Worldwide ERC® will continue to monitor and report on the Summit’s outcomes and their potential impact to mobility.