Paid access to the obvious marks rise of ‘economic fortresses’

Home > Opinion > Columns

Paid access to the obvious marks rise of ‘economic fortresses’

Published: 15 Apr. 2026, 00:04

Audio report: written by reporters, read by AI

Park So-young

The author is an editorial writer at the JoongAng Ilbo.

The Strait of Hormuz has been closed. A narrow waterway blocked by the clash between the United States and Iran has, within weeks, disrupted the global economy. About 20 percent of the world’s oil and a significant share of liquefied natural gas pass through this route. As that flow stalled, global oil prices surged and logistics slowed. More striking, however, was Iran’s declaration that it would impose tolls on passage through what had long been considered open seas.

Oil tankers and cargo ships line up in the Strait of Hormuz on March 11. [AP/YONHAP]

The move carries symbolic weight. Since the end of the Cold War, efficiency has been the guiding principle of the global economy. Under a free trade order with lowered barriers, companies built supply chains that produced goods at the lowest cost and transported them along the fastest routes. The blockade of Hormuz exposed how vulnerable that system is to geopolitical disruption. In its place, what is emerging resembles a network of “economic fortresses,” where movement requires payment at each segment and inspection at each checkpoint.

The first of these new barriers is the privatization of strategic chokepoints. Iran’s toll proposal may be only the beginning. Russia is seeking to assert control over Arctic shipping routes. Egypt and Panama have long used canal fees as leverage. Beyond physical routes, infrastructure once treated as global public goods, including undersea cables and satellite orbits, is increasingly subject to control and cost.

A second barrier takes the form of what may be described as moral and environmental checkpoints. Policies such as the Carbon Border Adjustment Mechanism and supply chain due diligence laws addressing child labor, forced labor and environmental damage are no longer distant prospects. While framed as efforts to protect the environment and human rights, they also function as technical filters that exclude products failing to meet certain standards. Entry into global markets now requires not only technological competitiveness but also the financial and administrative capacity to meet what can be seen as an ethical entry fee.

The third element is the weaponization of supply chains through control of resources and technology. China’s export restrictions on critical minerals provide a clear example. Rare earth elements, essential for electric vehicle batteries and smartphones, have become tools to influence other countries’ industries. Indonesia has similarly leveraged its nickel supply to pressure foreign firms to build local facilities and transfer technology. The United States has adopted guardrail provisions to limit the flow of advanced semiconductor technology, requiring allies to align with its policies. These developments suggest a shift from open trade to more coercive forms of negotiation.

Geopolitical analyst Peter Zeihan argued in “The End of the World Is Just the Beginning” (2022) that the era of security underwritten by the United States would end, leaving only those countries able to secure their own trade routes and supply chains. Japan has been among the first to act on this warning. After experiencing supply disruptions linked to tensions over the Senkaku Islands, Japan established a centralized approach to economic security. It created a ministerial position in 2021 and enacted the Economic Security Promotion Act the following year.

Japan has designated key materials, including semiconductors and batteries, as strategic assets under state oversight. It has offered subsidies totaling about 1.2 trillion yen ($7.5 billion) to attract TSMC to Kumamoto and is investing heavily in the foundry venture Rapidus to develop advanced chipmaking capabilities. The aim is to reduce dependence on external actors and avoid exposure to rising costs imposed by others.

In this July 6, 2010, file photo, workers use machinery to dig at a rare earth mine in the Baiyunebo mining district of Baotou in north China's Inner Mongolia Autonomous Region. [AP/YONHAP]

Tokyo has also introduced a system allowing certain patents tied to national security to remain undisclosed, with penalties for violations. It is supporting reshoring efforts to bring overseas production back home and reduce external dependence. These steps reflect a view that waiting until barriers are fully in place would be too late.

The era of frictionless free trade is ending. In a world where every connection can carry both cost and strategic risk, countries with limited natural resources face difficult choices. Beyond producing goods efficiently, they must secure technological capabilities that others cannot bypass. The blockade of Hormuz may be a temporary event, but it signals a broader shift in how economic survival will be defined.

This article was originally written in Korean and translated by a bilingual reporter with the help of generative AI tools. It was then edited by a native English-speaking editor. All AI-assisted translations are reviewed and refined by our newsroom.