By Heather Stewart
Publication Date: 2026-03-19 14:00:00
A prolonged period of high oil prices as a result of war in the Middle East could “slow down” the AI boom, the World Trade Organization’s chief economist has warned.
War and its impact on energy and fertilizer costs are the biggest risk to the global economy cited in the WTO’s latest Global Trade Outlook.
But the Geneva-based panel also raised a question mark over the continued strength of AI investments, which helped offset the impact of Donald Trump’s tariffs on global trade in 2025.
“There is an interesting possible interaction between the Middle East conflict and the AI boom, also because the boom is very energy intensive,” said WTO chief economist Robert Staiger. “If energy prices continue to rise throughout the year, that could slow the AI boom.”
He added: “Given that investment is heavily concentrated in a number of very large companies and ultimately the technology has not yet proven how much it can do, there is…”
