Monthly Archives: November 2020

Exploring the Many Recent International Arrangements – Multilateralism, Plurilateralism, Alliances, Bipolarity and More

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Multilateralism, plurilateralism,  bipolarity, multipolarity, alliances and alignments have all become subjects of serious inquiry in policy and political communities. The discussion and questioning of various international governing arrangements has grown ever louder with the final year, as it turns out, of the Trump Presidency. And, now, also, with the successor to Trump, President-elect, Joe Biden.

The outgoing President scorned long standing alliances and alignments and trumpeted (no pun intended) ‘America First’ attacking these traditional relationships. He fawned over authoritarian leaders and spurned allied ones. Rather than multilateral trade action, he targeted Chinese trade practices imposing broad-based tariffs that brought costs to American producers and consumers. All these many actions seemed determined to undermine the rules-based order.

Meanwhile, Biden, in marked contrast to Trump, announced soon after his election, the return of US global order leadership. This seemed to reflect what colleague Thomas Wright (2020) described in The Atlantic as a ‘restorationist approach’ to American foreign policy.  President-elect Biden presenting his national security team on November 24th declared (2020):

And it’s a team that reflects the fact that America is back, ready to lead the world, not retreat from it. Once again, sit at the head of the table.

What arrangements do Biden and his team envisage – what relationships do they target? Will they seek to: revitalize alliances, encourage multilateralism, avoid rising bipolar tensions between the United States and China and tackle the many global governance challenges. Is the Biden foreign policy willing to relax relations and lower tensions with China and broadly take the steps that reestablish American leadership and to refocus on a multilateral rules-based order? 

Over the next few posts I hope to delve and deliver, with friends, the many forms of global order relations – multilateralism, plurilateralism, multipolarity, alliances, alignments and more. The hope is to reflect on the diversity of these arrangements, determine their individual and collective effectiveness and to examine these arrangements in the context of a new US Administration and its goals. And we hope to uncover those structures and arrangements most likely to stabilize the international system and further global governance efforts.

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The Link Between Domestic Politics and Global Governance

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Colin Bradford is the Guest Blogger for this Post. He is a senior non-resident fellow at Brookings in Washington. He is a also a Principal of the Vision20 and a Co-Chair of the China-West Dialogue all with Yves Tiberghien, Professor of Political Science, University of British Columbia and Alan S Alexandroff Director the Global Summitry Project of Munk School of Global Affairs & Public Policy, University of Toronto and the Blog Master here at RisingBRICSAM

The underlying political driver of the current tensions in the global order is the actual or potential failure of economies to deliver social outcomes that are politically sustainable.  This is not just a phenomenon that brought about Brexit and Boris Johnson in the UK or Trump in the US – now apparently unelected.  This has been, and is, the drama of developing economies for decades. The failure to deliver social outcomes that are politically sustainable is  the source of social unrest now in Eastern Europe, the fear of the Communist Party of China, and the discontent of Europeans with the strictures of the EU.  It is global and deep seated; sweeping and systemic.

Populist nationalism is on the rise and authoritarianism is increasing as a result. The easy road for politicians to take today is to appeal to national strength and rally their publics around the flag.  The hard road to take is seize on this moment of hyper-interconnectivity revealed by the COVID 19 crisis and realize that strong multilateral cooperation and coordination is essential for global health and economic recovery in the short run and systemic transformation in the medium and long run.

The urgent necessity is for governments, societies and firms to realize that there is no going back to normal, that systemic crises require systemic change and that social priorities and people-centered policies are vital to restoring confidence in markets and governance.

But to systemically transform the social order reinforcement, resonance and support from the global system of international institutions is the new global governance priority.  Multilateralism needs to be revived to create innovative responses to these new domestic social priorities.  Strengthening the WHO, the ILO, the OECD and the multilateral regional development banks is necessary so that they can become the drivers of the international system as front-line innovators, taking on the dominant norm setting roles that the IMF, World Bank and WTO assumed during the Bretton Woods era.

The fact that social priorities are primordial domestic priorities does not mean the international institutions have no role to play.  To the contrary, key roles of international institutions are essential now through peer reviews, sharing best practice, and widening the array of policy options for national governments to engage in selective borrowing for internal application based on national criteria, culture and practice.   The funding international institutions provide provokes dialogues with governments and societies about priorities and challenges which enable countries to take advantage of global knowledge frontiers embodied in the experience of international institutions. Returning to knowledge-based policy making in national practice, which is sorely needed now, can be facilitated by these interactions between global institutions and national governments.

New forms of multilateralism and a new global order need to support transformation in the social order. This force field also operates in reverse.  Social transformation would strengthen societies as a whole such that the new social order would support the global order by: reducing ‘my-country-first’ nationalism, unilateralism, and dampen geopolitical tensions. The social order and the global order would be in constructive symbiosis instead, as currently, in rather destructive dynamics of a bipolar competitive era.

The new nexus between economics, society and the global order would create positive synergies toward better futures and greater systemic sustainability.

Image Credit: TechCrunch

The March of Global Order

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This Post is a collaboration with Yves Tiberghien Professor of Political Science at UBC and RisingBRICSAM blogger Alan Alexandroff.both Principals at the Vision20. It underscores that key actors in Asia, Europe and elsewhere are not waiting on the United States to return to global collaboration and multilateral action.

Out of Asia there is a major push on various global governance fronts. The world is not waiting for the United States. And in fact Joe Biden, the President Elect and his people are going to have to think ‘hard’ about whether they are prepared to be ‘left behind’ in the march forward of various multilateral gatherings. Are the demands of domestic politics and the Democratic Party’s distaste for ‘free trade arrangements’ going to leave the Biden Administration lukewarm to rejoining the Comprehensive and Progressive Agreement for Trans-Pacific Partnership or CPTPP? Lukewarm leaves the United States on the outside of efforts to integrate trade and investment in Asia and beyond.

While the Regional Comprehensive Economic Partnership (RCEP) is a limited integration of trade and investment, nevertheless the RCEP is the largest regional agreement concluded in Asia. The Pact covers 2.2 billion people and 15 countries . It includes China and other major economic actors including Japan and South Korea. As the NYTimes (2020) points out:

The pact will most likely formalize, rather than remake, business among the signatory countries. Its so-called rules of origin will set common standards to determine whether a final product qualifies for duty-free treatment, potentially making it simpler for companies to set up supply chains in several different countries.

While the RCEP lacks significant and needed steps to further liberalization and common regulation in key areas such as services trade, e-commerce, intellectual property protection and the elimination of manufacturing subsidies it is a key advance for the Asian region. As pointed out by Yves Tiberghien (2020) in a just published EastAsiaForum post:

RCEP will advance the acceleration of regional economic integration in Asia, and pushes back on Trump’s strategy of decoupling of US allies from China. While Southeast Asian countries, Japan, South Korea, and Australia may all be wary of China at the moment and seek diversity in their trade relations, they simply cannot sustain their prosperity without stabilisation of trade relations with China. Asia is criss-crossed by ever intensifying value chains, and China’s still an integral part of that. Vietnam and other ASEAN countries are rising as manufacturing hubs, but that’s a process accompanied by increased imports of intermediary goods from China.

But RCEP is also of global significance. The agreement, signed off in the middle of a pandemic and US–China trade war, reminds the world, first, that East Asia countries, unlike the Americas and Europe, have broadly succeeded in controlling COVID-19. That success, across different types of political regime, with a similar respect for science, expertise, and trust in government, was accompanied by general acceptance of mask-wearing and community rules.

Second, it also reminds the world that the biggest trading group in the world economy is doubling down on the rules-based multilateral system. Research by Homi Kharas shows that most of the increase in the global middle class until 2030 will take place in China and Asia.

 

RCEP also embeds the first trilateral agreement between China, South Korea and Japan, itself a huge deal. The common interests of these three countries have over-ridden tense geopolitical relations across the Asia Pacific. RCEP underscores the pragmatic efforts of Japan to balance its strong security stance on the South China Sea and in the East China Sea with stability in the bilateral relationship with China. After the completion of the CPTPP, the EU–Japan partnership, and the US–Japan agreement, this marks the completion of the Abe trade agenda (even though Japan would have preferred India to join RCEP). …

As well, RCEP brings significant institutionalization to Japan’s economic relations with China, including a new chapter on e-commerce (with a ban on data localisation requirements), rules on government procurement, and rules on intellectual property rights that go beyond WTO rules. The same calculations drive Australia’s readiness to sign RCEP in the midst of a bitter, but hopefully short-lived, trade fight with China.

The coming Biden Administration needs to rethink its reluctance to rejoin the CPTPP. If it fails to do this it could be on the outside of growing multilateral economic integration and possibly more.

Image Credit: Vietnam News Agency, via Associated Press.