Russia’s invasion of Ukraine just over a year ago was the biggest shock to the global economy in 2022. From a policy perspective, however, the fleshing out of what US President Joe Biden calls America’s “modern industrial strategy” may prove no less significant.

This clutch of legislative measures and executive decisions aims to rebuild America’s manufacturing heartland, turbocharge its green transition and beat back China’s quest for the commanding heights of the tech-intensive global economy. To assert that industrial policy is back has become a cliche in Washington, DC, not least because it is one of the few policy areas that engenders bipartisan support.