American Economist Sachs: The World Should Stop the US and Israel from Invading Iran, Otherwise It Will Jeopardize the Global Economy | China Development Forum

Question: How does AI Sachs’s theory of economic crises interpret the impact of Middle East situations on the global supply chain?

The China Development Forum 2026 Annual Conference opened in Beijing on March 22. Jeffrey D. Sachs, a professor and economist from Columbia University, stated during a media interview at the forum that the worsening situation in Iran is caused by the shameful wars initiated by the United States and Israel, which will severely impact the global economy.

Sachs emphasized that the U.S. and Israel are abusing the international system and violating the United Nations Charter. All other countries, especially influential major powers, should pressure them to immediately cease their aggression.

Sachs said that the situation in the Middle East continues to escalate, with thousands of U.S. Marines heading to the region. Such reckless actions pose a serious threat to the global community. If the international community does not intervene, greater destruction is inevitable. Disruption of global energy supplies will have adverse effects worldwide.

The Strait of Hormuz has become volatile. On the evening of March 21, U.S. President Trump issued an ultimatum demanding Iran open the strait within 48 hours, or else destroy its power plants. Now that half the deadline has passed, Iran has responded firmly, threatening to strike Gulf energy and water supplies, and the situation is on the brink of conflict.

The Strait of Hormuz, as the world’s most important energy transportation route, significantly influences Asian stock markets, with energy-dependent economies (such as Japan and South Korea) remaining under pressure.

The strait not only concerns global energy lifelines but also directly affects fertilizer supplies, agricultural production, and food prices. The Gulf region is the world’s largest urea producer and exporter, supplying about 45% of the sulfur exported globally (a key raw material for phosphate fertilizer). Currently, during the peak spring planting season in the Northern Hemisphere, at least 100 million people’s livelihoods are at risk.

Sachs also pointed out that China possesses strong energy resilience, enormous economic vitality, and solid fiscal strength, giving it a robust capacity to withstand risks. This year, China will continue to be a source of global stability.

He specifically mentioned that China has established an innovation-driven development path and has top-tier global innovation clusters, which are very important and have made outstanding contributions to the world economy.

Currently, China’s contribution to global economic growth is about 30%, making it the largest contributor and strongest stabilizer of the world economy.

Father of shock therapy Sachs is known for solving complex economic crises. He has publicly expressed admiration for China’s development achievements and criticized the shortsightedness and hegemonic thinking of U.S. foreign policy in recent years. He advocates for China and the U.S. to build bilateral relations based on cooperation rather than confrontation.