Sustainable Trade Index 2023

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At the IMD World Competitiveness Center, we believe that there is no question that trade is a driver of economic growth and development, but that it should also be a means for achieving social and environmental goals. The STI is a tool for policymakers to be able to track and manage the relationship between trade and sustainability. Our findings this year highlight that countries that balance these two well are also more developed economies where the cost that is imposed by making trade more aligned to the Sustainable Development Goals is lower. Because it is now the second time we have published this index, we start to be able to compare the performance of countries over time. Happily, we have observed that most economies have made enormous progress in the social quality of their trade practices. We hope this report will serve as a valuable resource and reference for all those who are interested in advancing sustainable trade for a better future. We are very happy to present you with the 2023 Hinrich-IMD STI. Our work has been made all the more relevant by recent developments in the world economy. As global trade has been challenged by geopolitical and health issues, governments and companies have been redefining the terms of their global exchanges. Subsequently, the work of streamlining supply chains and reducing costs has become paramount, and indeed even at the expense of social or environmental considerations in global trade. Our index sheds light on how this trade-off is being played out, focusing on the most active and dynamic region in the world.

HINRICH-IMD SUSTAINABLE TRADE INDEX 2023

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