Not Simply the Pace of Summitry: In then end, it is all about the 4Cs

I posted recently here at Alan’s Newsletter on the upcoming BRICS Summit – Puzzling over a BRICS Enlargement. And BRICS, as I described in the Post, is a ‘big deal’ in the pantheon of Leaders’ Summits. I also noted the possible ‘reignition’ of the Trilateral Summit – China, Japan and the Republic of Korea (Korea). But this is not the current extent of summit activity. There is, in fact, another Trilateral Summit that is about to gather – what I am referring to as a ‘Second Trilateral Summit’. This is the gathering at Camp David of the leaders of Japan, Korea and the United States. And since that gathering is tomorrow, Friday, I thought I’d get this Post out in anticipation of the Camp David Trilateral Summit of the three leaders.

‘Global summitry’ – the extent, importance and consequence of these leaders’ gatherings and the global governance progress achieved at these gatherings is, not surprisingly, at the heart of the Global Summitry Project (GSP). It is here in the e-journal Global Summitry, in our work with colleagues in the China-West Dialogue (CWD), and the strengthening of the Sustainable Development Goals (SDGs), and our work with students and researchers through the GSP including the articles, podcasts and videos.

Well let’s turn back, for just a moment to the upcoming  Summit. What, you say, a second trilateral summit? Well, yes, actually. The JapanTimes sets out possible goals for such a Trilateral Leaders’ gathering – the Second Trilateral Summit :

In a major step toward making trilateral cooperation a more permanent fixture, U.S.President Joe Biden, Japanese Prime Minister Fumio Kishida and South Korean leader Yoon Suk-yeol will agree to hold three-way summits at least once a year, while also conducting more frequent joint military drills around the Korean Peninsula and bolstering intelligence-sharing, including real-time warning data on North Korean missile launches.

The three leaders are also expected to signal deeper cooperation in areas such as cybersecurity, supply chain resilience and fighting economic coercion.

The one-day meeting — the three leaders’ first stand alone summit not held on the sidelines of a separate event — will take place against the backdrop of North Korea’s ever-improving nuclear and missile programs as well as China’s growing military assertiveness. Both issues will be high on the agenda.

But first and foremost, the summit is expected to focus on laying the foundation for a more durable trilateral relationship that can withstand political change, namely the growing partnership between two of the most powerful democracies in Asia.

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Focusing on the China-West Dialogue Project (CWD); Advancing Global Governance; and Improving US-China Relations

Now, turning back to the Global Summitry Project (GSP) and the Vision20 – collective efforts of Yves Tiberghien, Professor of Political Science and Konwakai Chair in Japanese Research at the University of British Columbia (UBC), Colin Bradford, nonresident Senior Fellow from Brookings  and myself, the Director of the Global Summitry Project. We have initiated various research initiatives.

A critical major effort over some three years has been the China-West Dialogue Process (CWD). The CWD has been Co-Chaired with Colin Bradford, the lead Co-Chair of the CWD and myself. This initiative has held some twenty plus virtual gatherings and many participants are set to gather in person for the first time in years at the Global Solutions Summit in Berlin May 15-16th <https://www.global-solutions-initiative.org/programs/china-west-dialogue/?utm_source=MASTER_Verteiler&utm_campaign=33fe63ffef-EMAIL_CAMPAIGN_2019_11_11_10_44_COPY_01&utm_medium=email&utm_term=0_4f4e08bb85-33fe63ffef-447373003> to focus on US-China relations and assess how the G20 can advance critical, and dramatically needed global governance issues – global debt management, climate change policy, global food security and health security.

What is required, however, and is currently missing, is that the two leading powers turn their minds to such critical global governance policy efforts – both bilateral and multilateral.  From the beginning the CWD has targeted first Trump policy and now Biden foreign policy. Trump Administration officials made it clear that ‘engagement with China’ born in the Nixon Administration was at an end. Both Administrations called for competition though not for conflict. The outcome so far, especially for bilateral relations has been dismal.

As my Co-Chair Colin Bradford wrote on March 7th: “The strategic competition between the US and China is real and must be accepted and managed. But the confrontational narratives of this binary relationship are dominating and weakening global leadership and governance and present a threat to the global order.”   As the Editorial of the NYTimes, today, March 12th, urges: “Americans’ interests are best served by emphasizing competition with China while minimizing confrontation. Glib invocations of the Cold War are misguided. It doesn’t take more than a glance to appreciate that this relationship is very different. Rather than try to trip the competition, America should focus on figuring out how to run faster, …” <https://www.nytimes.com/2023/03/11/opinion/china-us-relationship.html?referringSource=articleShare>. Competition is not the problem for the Biden Administration; but collaborative policy making certainly appears to be. And current policy has made it more difficult. All one needs to do is to examine the interaction of the Biden Administration and the Chinese Government and Party on “balloon gate”. As Paul Herr of the Chicago Council identifies in his post at EAF: <https://www.eastasiaforum.org/2023/03/12/ballooning-mistrust-in-the-us-china-relationship/?utm_source=newsletter&utm_medium=email&utm_campaign=newsletter2023-03-12> “Washington and Beijing’s response to the appearance of a Chinese surveillance balloon over the United States in February 2023 illustrates several aspects of the current US–China relationship that will make it very difficult to reverse the downward spiral in bilateral ties. The episode displayed mutual distrust, latent hostility, a failure to communicate and the adverse impact of internal politics on how the two sides deal with each other.”

As the CWD has identified at the GSI CWD Website – <https://www.global-solutions-initiative.org/programs/china-west-dialogue/> “The CWD’s fundamental goal is to help reshape the narratives and behaviours of US-China relations from friction to function by engaging other middle and major powers and emerging powers in a reframed China-West relations in G20 processes and other public forums. The aim of the Project is to identify new political dynamics that yield more productive relations in the international system.” At the CWD has identified, and noted by Colin Bradford on March 7th: “The CWD has concluded that the G20 is the most important platform for profiling and actualizing these alternative political dynamics in the year-long official G20 processes, which could enable convergence on systemic threats and ease geopolitical tensions.”

It is a challenging  goal in the face of current difficult US-China relations – but crucial for settling global order relations that have become ‘so rocky’ and unsettled in the last several years.

March 12, 2023

 

How Japan Can Navigate Growing US-China Tensions

US-China tensions have emerged to dominate the geopolitical space. How is this rivalry affecting states, particularly in the Asian context? Japan, a long-standing ally to the US, and at the same time a key economic partner to China, finds itself, as do other states in the region, in a difficult position. Still the US-China rivalry alone fails to fully define the foreign policy challenges Japan faces currently. With the Olympics just recently completed in Japan, and COVID-19 numbers on the rise, vaccination numbers still relatively low, continuing cool relations with South Korea, nuclear tensions with North Korea, and finally a looming national election, it is important to recognize that there are a variety of serious issues that Japan’s current political leadership faces.

The US provides Japan with defence and security, but China boosts the Japanese economy, with 22% of Japanese exports going to China in 2019 alone and increasing another 5.1 percent in 2020. Japan is wary of losing its status as a major power but understands that choosing between the two superpowers is surely a lose-lose proposition.

Territorial Disputes

Territorial disputes are a long-standing issue for Japan. Between 2010-2012 tensions began escalating with China over the Senkaku Islands in the East China Sea. However, while the Senkaku Islands remain an area of contention, the question of Taiwan is a cause for even greater concern. Japan’s southernmost island, Yonaguni, is just some 111km east of Taiwan, and in recent months, China’s presence around Taiwan has grown. Threats have increased. In April 2021, when Prime Minister Suga visited President Biden in Washington, their joint statement on the renewal of the US-Japan partnership mentioned “Taiwan” for the first time since 1969: “We underscore the importance of peace and stability across the Taiwan Strait and encourage the peaceful resolution of cross-Strait issues.”

Beijing responded harshly to the statement and accused the US of interfering in “internal affairs”. For a country like Japan, a response of this nature raises concern: China’s been known to utilize economic means to retaliate against countries that condemn their actions. Therefore, while it may be important for Japan to collaborate and work with the US on matters relating to Taiwan, Japan is treading quite carefully with China.

Former Japanese Prime Minister Yukio Hatoyama argued that the US-Japan Joint Statement’s mentioning of “Taiwan” was counterproductive to seeking cooperative relations with China. However, various US military officials in the Indo-Pacific have argued conflict between China and Taiwan is highly probable in the next six years. Given Japan’s proximity to Taiwan and the US’s presence in the region, Japan must consider the wider geopolitical implications.

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Biden, Suga, Xi and Yes, Others – the New Mix Reshaping Global Order Relations

 

The current state of the international system. That is what I hope RisingBRICSAM can tackle in the next set of posts. While I remain the named blogger here at RisingBRICSAM,  I shall not be undertaking this task alone. Nope. I have been fortunate enough these past weeks to be working with a great set of recent, or near MGA graduates from the Munk School of Global Affairs & Public Policy, University of Toronto.

And all of us in various ways have had  opportunities to examine in some detail aspects in the evolving global order. In addition, many of these same researchers have joined in the China-West Dialogue (CWD) research and online meetings. But more on that in a moment.

 

There is as you will see a host of significant influences shaping the global order and its politics. Probably the most immediate has been Covid-19. The waves of the virus have had a significant influence on all the major and minor actors in the global system.

The global public health crisis has also underscored the growing array of new actors in the global order. Of course the many states – leading powers, major powers, emerging and developing powers, and also the international organizations both formal and the often forgotten but in fact critical informal institutions.

The array of these state actors have been significantly supplemented during the pandemic by sub-state actors – whether regions, networks or local actors and even more dramatically non-state actors such as foundations, public and private corporations.  The pandemic has underscored the growing role of technology and digital organizations. One of the envisaged posts will focus on the global developments of Agenda 2030 – the 17 Sustainable Development Goals (SDGs) – and the threat that the Covid-19 pandemic has posed to achieving these critical global development goals by the end of the decade.

The virus has been dramatic globally. But then as well has been the replacement of the Trump Administration and its ‘America First’  foreign policy in the United States with the Biden Administration’s autocracy versus democracy and build back better world (B3W). Both administrations grappled with, or amplified, the reemergence of geopolitics with the intensifying rivalry between the United States and Xi Jinping’s China. Even in these early months, the Biden Administration has represented a highly different domestic and diplomatic effort from the often chaotic years of Trump policies though it appears the Biden Administration has moved slowly on revising aspects of American foreign policy including with China. Some of the early and continuing analysis and research at the Global Summitry Project (GSP)  on US and US-China foreign policy has been undertaken by the China-West Dialogue Project (CWD) co-chaired by Colin Bradford, non-resident senior fellow from Brookings and myself. For almost two years we have met largely virtually with thought leaders – former officials, policymakers, academic experts – from around the globe to build a narrative that can accommodate competition, avoid confrontation and vitally permits collaboration – an approach that counters the ideological divisions that have emerged with rising US-China tensions.

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‘G2’ and the Expectations Game

While designed to build consensus among a broad group of countries, a significant aspect of the G20 has been a consolidated discussion between the leaders of China and the United States. US President, Barack Obama and China’s President, Hu Jintao have used these informal talks for relationship building.  These informal discussions have until now complemented the G20 leaders’ process. But if these US-China leaders’ talks take hold, it may also prove to be a principal rival to the G20 dialogue.

A new game of expectation-raising has begun to swirl over what has been dubbed the “G2” in anticipation of renewed strategic dialogue and the home-and-home state visits announced for 2009, with President Hu visiting Washington in late-summer and President Obama visiting Beijing in late-fall. While the US-China bilaterals will not lack for issues, indeed there are already a series of bilaterals between China-US officials, it remains to be seen how in-depth the two leaders will want to harmonize global economic strategies. Will these encounters survive expectations? Will the G2 serve as distraction to the G20 process?

China’s global status can hardly be ignored. While the economic fires rage on in New York, London and Tokyo, Beijing has demonstrated a cool confidence and continued growth. In the lead-up to the London Summit, People’s Bank of China Governor, Zhou Xiaochuan made very public declarations on the perils of over-reliance on a single currency for global reserves, advocating instead for a standardized, SDR-type currency valuation less prone to volatility. In London, Paola Subacchi of Chatham House commented that, “China graduated from regional to global power. It showed political and financial muscles and the appetite to be involved in the global dialogue – with also an interest in developing a closer relationship with Washington.”

A leading voice in support of an informal G2 “leadership conclave” has been C. Fred Bergsten of the Peterson Institute. As early as 2006, he advocated bilateral diplomacy to support China’s and America’s “joint responsibility” to ensure global financial stability. Recent events have revived proposals for such a format.  These advocates have stressed the need for the two countries to resolve currency disputes and jointly enforce IFI reforms.

In his analysis, CIGI Senior Fellow Gregory Chin suggests that failure or frustration in a divergent G20 process may feed a “Great Power withdrawal into the bilateral track to deal with matters of highest strategic importance. This could mean confining the multilateral track to implementing the decisions made by the Big 2.” This should not immediately be considered a negative outcome. While the G20 scores high on legitimacy, its efficiency and compliance have waned. Resolution of the multitude of issues on the US-China bilateral agenda alone (from trade to currency valuation to intellectual property) could ease gridlock in many international negotiations. However, expectations for a lean and authoritative G2 assume that the two leader countries can abstain from squabbles over human rights, the proverbial ‘third rail’ of US-China relations.

While certainly there are larger strategic factors at play, the success of a G2 would heavily depend on ability of the leaders themselves to get along and work constructively. Can the ever technocratic Hu find common ground with the always affable Obama? The new American President shows an understanding of the importance of the bilateral relationship. Following their first meeting, President Obama noted that, “I continue to believe that the relationship between China and the United States is not only important for the citizens of both our countries but will help to set the stage for how the world deals with a whole host of challenges in the years to come.”

Indications from inside China, however, seem to downplay any expectations of a G2. In the days before the London Summit, leading scholar Huang Ping of the Chinese Academy of Social Sciences (CASS) asserted that “the so-called G2 is both unrealistic and problematic to fit in with the traditional Chinese value of a harmonious world.” By pushing other regional and global developing economies out of key international decision-making, China could risk alienating its like-minded allies in the global South. Continued success of the G20 fits in much better with this approach, and Dr. Huang suggests that China should promote this larger steering group.

Whether formalized or not, a G2 appears to be inevitable, if in nothing but name only. As the two leaders meet, the US-China forum will be cast in this light with enormous scrutiny. ‘G2’ will become the favored term of pundits, perhaps to its detriment.

A major stumbling block for the G2 may end up being the two nations’ cultural differences in their fiscal behaviors. Arguably, the US propensity to spend and the Chinese need to save drove the world into crisis and offered recovery, respectively. However, this balance has proven unsustainable and the macro-economic structure must be fixed. Recovery relies on the two governments providing their citizens with the correct incentives towards long-term restorative fiscal behavior. Yet, to appear successful, a G2 will need instantaneous results.

In his column, “What the G2 Must Discuss Now that the G20 is Over” (7 April 2009), the Financial Times’ Martin Wolf suggests that while China’s desire to engage the US may be self-motivated – to stabilize its US currency reserve, deflect exchange rate reform, and rebalance spending-saving – it is a “necessary condition for serious discussion of global reforms.” If arranged properly, a collaborative G2 would have the potential to remove policy obstacles and pave the way for general agreement across the board. However, if used as another opportunity to name and shame each other, it could heighten tensions in an already delicate relationship.

The most likely outcome is a mediocre G2, one that cannot live-up to the overblown expectations. Here, enters again the G20, this time with a strong dose of modesty and a previously excluded group of leaders more committed than ever to be a part of the process. If however the G20 can forgo this chain of events by harnessing leadership from within and boosting national compliance and effectiveness, plurilateral consensus may trump dyadic centralism.