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Transportation and globalization are two highly intertwined subjects. After all, transportation affected globalization, as without reliable transportation across the geographic divides, globalization would not exist. Moving people and goods is of high economic importance, as it improves the economic welfare of a society. 

Transportation is a key component of an economy, as it is a critical tool in development. It has increased the possibility of economic opportunities. It has aided the mobility of people and goods, as well as communication and information technologies. There is a strong relation between the quality and quantity of a this infrastructure and the economic development of a society.


High levels of development are often apparent in highly connected transportation infrastructure and highly connected networks. Efficient transport systems provide both social and economic opportunities, which in turn multiply benefits such as accessibility to investment, employment and markets. 

Wealth and Globalization

On the other hand, globalization is negatively affected where there is poor transportation infrastructures. This applies to both reliability and capacity. Societies that are transportation deficient often suffer the economic consequences that include a lower quality of life and missed opportunities. In short, efficient transportation reduces costs in a number of economic sectors, while inefficient shipping networks limit opportunities for globalization and increases costs in certain economic sectors.

When there is traffic congestion on a road, that often points to the cheap road infrastructure that’s provided free of charge to its users. On the other hand, it could indicate the fact that the economy is growing, but the infrastructure cannot keep up with the rising demands of globalization. 

Over the last hundred or so years, the transportation industry has grown tremendously to increase globalization. However, no single mode has been solely responsible for this globalization. Let’s not forget that the first trade routes were expanded thanks to global maritime shipping networks. Then came rail and air freight and then there were cars, trucks and now, self driving cars. Each of these modes affects globalization in its own unique way.