Capital Edge World

  🏦 Introduction By May 2026 , global trade is entering a fragile yet transformative phase. After a strong rebound in 2025, merchandise trade growth has slowed sharply, dropping from 4.7% last year to around 1.5–2.5% this year . This deceleration reflects weaker demand in advanced economies, persistent geopolitical tensions, and energy market volatility. Despite the slowdown, certain sectors—particularly artificial intelligence hardware, renewable energy, and digital services —continue to drive momentum. Imports of AI‑related products are masking weakness in other categories, while services trade remains resilient thanks to digitalization and financial flows. For policymakers and investors, May 2026 highlights the need to balance short‑term risks with long‑term structural opportunities. 📊 Global Trade Outlook Merchandise Trade : Growth slows to 1.5–2.5%, down from 4.7% in 2025. Services Trade : Digital services and financial flows remain strong. AI‑Driven Trade : Imports of da...