24.01.2025

Gender Justice in Global Supply Chains: Rethinking Trade, Geopolitics, and Workers' Rights

Women across Asia form the backbone of global trade, yet their labour remains undervalued and unprotected. While legislative measures like the EU and Germany’s Supply Chain Due Diligence Acts provide a promising step forward, achieving meaningful change requires placing gender justice at the heart of global trade practices. This blog explores the intersection of trade policies and geopolitics with gender, examining how they reinforce or challenge deep-rooted inequalities. It advocates for stronger legal frameworks that prioritise women’s rights and create fairer, safer, and more sustainable global trade practices.

In critical sectors such as textiles, electronics, and agriculture, women are central to production, yet their labour remains undervalued, their contributions overlooked, and their rights disregarded. Despite being key drivers of growth in industry, services and agriculture, global trade is often portrayed as a gender-neutral force driven solely by economic factors. However, this view overlooks the gendered power dynamics that shape many global supply chains, particularly in Asia.

A feminist perspective challenges the myth of a "neutral" marketplace by highlighting the gender-based inequalities embedded within labour practices and policies. Initiatives like the EU and Germany’s Supply Chain Due Diligence Acts mark crucial steps towards accountability. However, these laws require further strengthening to fully address gender-specific challenges, such as sexual harassment, unsafe working conditions, and violations of reproductive rights.

The need for stronger, gender-responsive policies is undeniable. While these laws represent a crucial starting point, their full potential can only be realised by placing women’s rights at the forefront of global supply chain reforms. Embedding gender justice within these legal frameworks paves the way for more equitable, safer, and sustainable global trade practices.

Geopolitics, Global Trade, and the Gendered Nature of Supply Chains

Asia is a hub of global trade, particularly in manufacturing, with countries such as China, India, Bangladesh, and Vietnam producing goods integral to the global economy. These countries serve as the backbone of industries in high-income countries, which rely on Asian labour to maintain low production costs.

However, these supply chains are anything but neutral. They are shaped by deeply ingrained gendered power structures, with women, especially those from lower socio-economic strata, occupying many of the lowest-paid and most exploitative jobs. Often, women are forced to bear the brunt of this exploitation, taking on additional burdens and risks. Structural dependencies, such as reliance on partners or families, further heighten women’s vulnerability, leaving them at greater risk of poverty in the event of job loss, illness, or non-living wages. Although women’s labour is essential to these industries, their voices and needs are often overlooked in trade negotiations and policy development.

For example, women account for around 80 per cent of the workforce in Bangladesh’s garment sector, a cornerstone of the national economy. Despite their critical role, they are rarely involved in the policymaking processes that shape trade agreements. This exclusion perpetuates their marginalisation and ensures that trade policies continue to benefit powerful corporations rather than the workers who drive these industries.

These gendered power dynamics are not limited to Asia. On a global scale, the political and economic systems that define trade relations are often driven by the interests of dominant nations and multinational corporations. This leaves women workers, especially in the Global South, vulnerable to exploitation, as policies are designed to prioritise profit over people.

The Gendered Impact of Global Trade

A feminist analysis of global trade recognises that trade policies are not universally beneficial. Rather, they often reflect and perpetuate power imbalances that are inherently gendered. In many cases, women, particularly in Asia, bear the brunt of trade policies that prioritise profit maximisation over workers’ rights, leading to disproportionate hardships.

In industries such as textiles, electronics, and agriculture, women make up the majority of the workforce. Yet their labour—and consequently their wages—are undervalued compared to their male counterparts, despite performing the same tasks. This structural inequality is not only a matter of economic fairness, but also one of human rights. For instance, in the electronics sector, women comprise the bulk of the workforce in factories across China, Taiwan, Thailand, and Vietnam, yet the conditions in these industries remain harsh. These sectors are critical to the economies of these countries: Bangladesh’s ready-made garment industry alone contributes 16 per cent to the country’s GDP, while electronics manufacturing significantly boosts Taiwan's economy, with companies like Taiwan Semiconductor Manufacturing Co., Ltd (TSMC) serving as a cornerstone of the nation’s industrial output.

Despite women’s central role in these industries, their labour conditions remain largely invisible in trade discussions and policymaking. Reports, including Amnesty International’s 2020 investigation, have highlighted widespread abuse, unsafe working environments, and sexual harassment. Yet, their voices continue to be excluded from the decisions that shape their working conditions and the broader policies governing global trade.

Legal Frameworks: The Need for Gender-Responsive Due Diligence Laws

In recent years, there has been growing recognition of the need for legal frameworks that hold companies accountable for human rights violations and environmental damage in their supply chains. Laws such as the EU’s Corporate Sustainability Due Diligence Directive and Germany’s Supply Chain Due Diligence Act are steps in the right direction, requiring companies to assess and address human rights risks in their supply chains.

However, while these laws represent progress, they need to go further in addressing gender-specific issues. The EU Directive mandates that companies assess human rights and environmental risks, but gender-based risks such as harassment, unsafe working conditions, and violations of reproductive rights are not sufficiently emphasised. Germany’s law, which came into effect in January 2023, similarly focuses on human rights violations such as forced and child labour, but does not adequately address the gendered nature of these issues.

In order to be truly effective, these laws must explicitly address gender inequalities, focusing on issues such as sexual harassment, unsafe working conditions, and the violations of workers’ reproductive rights. While the UN Guiding Principles on Business and Human Rights (UNGPs) offers a solid framework for corporate responsibility, meaningful progress requires the integration of a gendered lens into these frameworks.

To ensure these laws achieve their full potential, it is imperative that the EU’s supply chain law be implemented swiftly across all EU member states, without delay or dilution. Similarly, Germany must ensure its own supply chain law remains a model for other countries, pushing for the integration of gender-specific provisions that address the systemic inequalities faced by women in supply chains and improve working conditions domestically.

A strong, gender-responsive implementation of these laws would not only provide women workers with the protections they need but also ensure fair compensation for their labour and equitable participation in value-added processes. Furthermore, such measures would hold companies accountable for addressing the gendered risks inherent in their supply chains, fostering greater equality and accountability in global trade systems.

Addressing Criticism from Traditional Geopolitical Views

Critics from a traditional geopolitical perspective may argue that incorporating feminist approaches into global trade and supply chains distracts from core priorities such as economic growth, state sovereignty, and national security. They might suggest that integrating gender analysis complicates trade policies and undermines their effectiveness, particularly in industries deemed vital for national economies. For example, critics may claim that focusing on workers’ rights and gender equality could raise costs for consumers and disrupt supply chain stability.

However, these critiques overlook the deeply interconnected nature of geopolitics, trade, and supply chains. Trade policies and supply chains are shaped by geopolitical power dynamics, which are inherently gendered. Key industries that shape geo-economic strategies, such as semiconductor industry, rely heavily on women workers, particularly in lower-skilled, labour-intensive roles. These sectors, often sustained by undervalued female labour, play a central role in global economic and political negotiations. Yet, the interest of and the impact on these workers remain unrepresented in these discussions.  

Looking forward, supply chains will continue to shape the geopolitical discourse, particularly amid intensifying US-China tensions. For instance, the return of Donald Trump to the White House could escalate trade wars, with significant repercussions for global supply chain dynamics and economic strategies. Such developments would likely exacerbate existing gender inequalities in global supply chains, further marginalising women workers through job losses, wage reductions, or worsened working conditions.

A feminist approach does not advocate abandoning economic growth or national interests. Instead, it calls for a fairer distribution of the benefits and burdens of global trade. The current system disproportionately favours global elites, particularly male-dominated power structures, who benefit from the marginalised groups, particularly women, in global supply chains. Addressing gender inequality within trade and supply chains would not only improve working conditions but also lead to more resilient and sustainable economies. Empowering women in the workforce fosters broader and more equitable growth, contributing to greater long-term social and economic stability.

By integrating gender equality into trade policies and supply chain regulations, policymakers can ensure that the benefits of global trade are more equitably shared. A gender-just approach has the potential to strengthen, rather than destabilise, global trade by creating more inclusive economic systems. This shift would make the global economy both stronger and more just, laying the groundwork for sustainable and equitable growth.

The Way Forward: Maximising Gender Justice in Trade Policies

To ensure that the EU and Germany’s due diligence laws achieve their full potential, they must be implemented swiftly and with an emphasis on addressing gender-specific risks. This requires holding companies accountable for gendered issues such as sexual harassment, unsafe working conditions, and violations of reproductive rights within their supply chains.

Multinational corporations must bear liability for these gender-based abuses and be required to disclose detailed supply chain data with a clear focus on gender equality. Transparency is essential for ensuring accountability and safeguarding the well-being of workers, particularly women, whose contributions are often undervalued and overlooked.

In addition, the EU’s challenges in finalising Free Trade Agreements (FTAs) in recent years—arising partly from the increasing complexity of global trade negotiations—highlight an important dilemma: should gender justice be prioritised in trade policies, even if it risks complicating or delaying trade negotiations? While addressing gender justice may disrupt traditional trade frameworks, it is a critical step toward creating a more equitable global trade system. A feminist approach to trade that integrates human rights and gender equality has the potential to reshape the global economic landscape. However, achieving this vision may necessitate challenging the entrenched interests and redefining the current economic order. This tension between advancing gender justice and navigating the political realities of trade negotiations represents a challenging yet vital conversation for policymakers.

Furthermore, women workers in global supply chains must be actively included in decision-making processes when trade policies are formulated. Their participation is essential to ensure that policies are informed by their needs and lived experiences. Gender justice in global trade is not just about compliance with laws—it is about empowering women workers to drive the changes needed for lasting and transformative outcomes.

Trade unions have a crucial role in this context. They must amplify their demands for equal pay, decent work, and better working conditions for all workers. Additionally, unions must also enhance their efforts to represent women workers effectively, ensuring that gender equality becomes a central part of their agendas. Empowering trade unions to champion these issues will advance gender justice in global trade and foster a more inclusive global economy.

To maximise these efforts, it is essential to elevate women into leadership roles withing trade unions. Their unique experiences and perspectives are indispensable in shaping decisions that prioritise gender equality and workers’ rights. By integrating women’s voices at all levels of leadership, trade unions can better advocate for a fair and just global workforce, driving progress toward an equitable economic future.

Achieving gender justice in global trade is both a moral and economic necessity. Addressing gender-specific risks, ensuring corporate accountability, and amplifying women’s voices in policymaking and trade unions can create a more inclusive and sustainable economic system. While challenging traditional frameworks may complicate negotiations, it also offers the chance to reshape global trade for the better. A feminist approach lays the groundwork for a fairer, stronger global economy that benefits all.

Natalia Figge is Resident Representative of the FES Nepal Office and Director of the FES Regional Project on Gender Justice in Asia.

The opinions and statements of the guest authors do not necessarily reflect the opinion and position of the Friedrich-Ebert-Stiftung.

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