DAVOS, Switzerland — The picturesque setting of this Swiss resort town in late January remains largely the same, with fresh snow adorning the evergreen forests and private jets filling the small airfield. The icy streets are bustling with black vans and SUVs, bringing the global elite to the annual World Economic Forum (WEF). This year, however, the presence of President Donald Trump has signaled a notable shift in the dynamics of the forum.
Trump is leading one of the largest U.S. delegations to Davos, where he will address attendees amidst a backdrop of tension and conflict with traditional global norms. His administration’s aggressive trade policies and confrontational foreign relations starkly contrast with the cooperative ethos that has long defined the WEF. Just days before the conference, Trump threatened new tariffs on European allies due to their rejection of his controversial claim regarding the annexation of Greenland, stirring up discussions about sovereignty and international relations.
A coalition of European countries facing these U.S. tariffs issued a statement asserting their readiness for dialogue, emphasizing that tariff threats could undermine transatlantic relations further. Moreover, Trump’s recent actions regarding Venezuela underscore a troubling trend of asserting U.S. dominance over regional affairs, prompting foreign policy experts to comment on the re-emergence of gunboat diplomacy.
Amidst this tension, Davos organizers have chosen a more subdued theme for this year’s forum: “a spirit of dialogue.” This reflects a recognition of the disruptions to the established global order and a desire to foster cooperation despite overwhelming challenges. Mirek Dusek, a WEF managing director, pointed to a consensus that the world economy is entering a new reality, and the forum aims to facilitate discussions among key global players.
The WEF has attracted a record number of participants this year, including 65 heads of state and government, along with nearly 2,000 business leaders. These gatherings take place against a backdrop where the advocacy group Oxfam has reported a staggering increase in billionaire wealth—$2.5 trillion—over the past year, exceeding the total wealth of the bottom half of the global population.
The shadow of Trump’s policies raises concerns about the potential for consensus on pressing issues like global inequality. A recent Global Risks report highlighted “geoeconomic confrontation” as a primary concern. The decline of multilateralism and the assertion of unilateral power have become defining features of current international relations, largely influenced by Trump’s strategic outlook.
Notably, while challenges mount, the spirit of cooperation remains alive among global leaders. Canadian Prime Minister Mark Carney has addressed the changing “new world order” and emphasized the need for strategic partnerships, moving past the historical tensions with China. Similarly, a new free trade agreement between four South American countries and the European Union highlights the importance of collaboration over isolation in fostering economic prosperity.
As these global realignments unfold, Trump’s administration finds itself positioned against an increasing tapestry of cooperation that seeks to mitigate the fragmentation of international relations. While the U.S. is set to remain a dominant force, its absence from constructive global dialogues could reshape alliances and economic frameworks, illustrating a shift in the center of gravity in global affairs.