Western Hegemony and a Rising Asia

For centuries, the center of gravity of the world economy has long been concentrated in the West. But now, powerful signs indicate a paradigm shift and the beginning of the "Asian Century." The shift in the centre of gravity of the global economy is no longer an analytical hypothesis; it has become a measurable reality across the main indicators of growth, trade and investment. It is becoming increasingly vivid that the world economy's centre of gravity has shifted to Asia.

With the mechanization of agriculture, the digitalization of industries, and improvements in educational systems, labor productivity in Asian countries is steadily rising. Today, Asia generates well over 60 percent of global growth and accounts for more than half of world output in purchasing power parity. On the other side of the equation are the advanced Western economies, whose share of the global economic pie will relatively decline. Although the US and European economies will remain very powerful and wealthy, their growth rates are predicted to be slower compared to their Asian rivals. The Eurozone is projected to have a GDP of only about $30.3 trillion by 2075, and Japan's GDP will be close to $7.5 trillion.

Asia has become the principal locus of global manufacturing value chains. It hosts some of the most sophisticated logistics networks ever constructed and is leading the largest infrastructure expansion in modern history. Ports, rail corridors, energy grids and digital connectivity do more than facilitate trade; they are redesigning the spatial logic of economic interaction.