Deteriorating diplomatic and trade relations and the coronavirus pandemic are causing Asia’s emerging economies to turn inwards. Having once seen the rest of the world as a source of growth, a reappraisal of economic development policy is now underway through China’s “dual-circulation” strategy, India’s “self-reliance” movement and Indonesia’s return to import substitution policies.
So are these emerging markets starting to close the door on foreign firms and investment? Focusing on the region’s leading emerging markets of China, India and Indonesia, this special report by The Economist Intelligence Unit assesses the extent to which Asia’s economies are turning inwards. The report concludes by considering what this shift means for foreign firms and investors and provides advice on what they can do to mitigate against the potential implications.