Which Countries are Middle Powers – And Why are They Important to the Global Order? Part 1

I had a debate very recently with my China-West Dialogue (CWD) colleague, Colin Bradford. In a memo we were working on for CWD, he described the two major trade agreements, CPTPP and RCEP. He then added:

 

These two trade agreements show that middle powers are able to take multilateral actions on their own that make an impact.(*)  

But which countries do we see achieving that? And behind that, why have analysts and policy makers become significantly more interested these middle powers in the Trump era recently past?

Counting the Middle Powers

The debate begins with the ‘Who’. Though Colin and I were generally agreed on the content of the article, we went around in circles over which countries we could, and should, identify as middle powers. Now, I was more than ready to forgive Colin his vague characterization of middle powers and then broad inclusion of the same – after all he is an economist – but soon thereafter I stumbled over a rather recent article by Bruce Jones, also of Brookings. and a well known international relations analyst. The article found in FA and titled, “Can Middle Powers Lead the World Out of the Pandemic? Because the United States and China Have Shown They Can’t” tackled the question of the current middle power membership. Given the subject matter of the article, Bruce was called upon to identify in some manner, the states that captured the current set of middle powers:

The concept of “middle powers” is imprecise and somewhat inchoate, but it generally refers to countries that are among the top 20 or so economies in the world, lack large-scale military power (or choose not to play a leading role in defense), and are energetic in diplomatic or multilateral affairs. These countries were seeking to fill part of the international leadership void even before the crisis, particularly when it came to buttressing the rickety multilateral system.

So, there we were. I had no difficulty acknowledging that the term was “imprecise and inchoate” but as for the rest of the features identified by Bruce, well, not so sure. Increasingly, I came to suspect that this was likely to be one of those classic international relations definitions – unclear and contested.

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

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 March of Global Order

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.

Declaring Engagement Dead!

Opinion and analysis writing often seems to come forward in ‘waves’. It is almost never just one piece but a veritable series of similar narrations that seeks to identify the trends.  This wave-like writing certainly is evident when it comes to US foreign policy making and in particular the rising tensions between the two leading powers – the United States and China. There was a first wave of  ‘New Cold War’ articles, that as I suggested along with some of my V20 colleagues seemingly impacted partisans of both Parties in the United States. Then, there was the wave US-China trade war tensions. And now we see the current wave in the ‘Rising US-China’ tensions and the return to a view that this may indeed be a new sorta ‘Cold War’ and dire predictions of decoupling between the two leading economies and the ‘deer in the headlights’ of US allies trying to avoid choices between the two.

This newest wave of US-China tensions has been orchestrated in part by the Trump Administration with speeches from senior officials William Barr, the Attorney General,  Robert C. O’Brien, National Security Advisor,  Christopher Wray, the Director of the FBI, Mark Esper Secretary of Defense and, finally with the icing on the cake the speech by  Michael Pompeo the  current Secretary of State at a highly significant location – the Nixon Presidential Library and Museum at Yorba Lind, California.

It is interesting that these declarative words all began with the Donald Trump’s actions – the chaos, the denigration of multilateralism, the strong-arming of allies and the threats to end key alliance relations of the liberal order – NATO, US- Japan and US-Korea security treaties. While these initiatives and threats heralded Trump’s America First policy they have been superseded most recently with the targeting of China. It reflects, one suspects, the ‘Hail Mary’ approach that Trump seems to have chosen with falling numbers on his reelection. It is China ‘all the time’, by these officials, attacks on the Communist Party of China and even the targeting of regime change by these US officials.  Additionally, and I don’t think prematurely US foreign policy analysts are at the same time attempting to anticipate a foreign policy under a Biden Administration. But we’ll save that examination for another moment.

Meanwhile the language is barely restrained . As my CSIS colleagues Scott Kennedy and Matthew Goodman conclude in a recent post:

Through a series of speeches and tough actions, the Trump administration has clearly signaled that it views a Xi Jinping-led China as an existential threat to the West, and hence, is trying to mobilize its friends and allies to form a united front against Beijing.

Here is William Barr, the Attorney General of the United States describing China and its current ambitions in a speech he delivered on July 16th:

… that is, the United States’ response to the global ambitions of the Chinese Communist Party.  The CCP rules with an iron fist over one of the great ancient civilizations of the world.  It seeks to leverage the immense power, productivity, and ingenuity of the Chinese people to overthrow the rules-based international system and to make the world safe for dictatorship.

The objective is according to Barr, clear:

The People’s Republic of China is now engaged in an economic blitzkrieg—an aggressive, orchestrated, whole-of-government (indeed, whole-of-society) campaign to seize the commanding heights of the global economy and to surpass the United States as the world’s preeminent superpower.

And, the dire views of Barr are only amplified, indeed ‘accelerated’ a now favored term in this ‘Age of the pandemic’ by Mike Pompeo:

But I have faith we can do it. I have faith because we’ve done it before. We know how this goes. I have faith because the CCP is repeating some of the same mistakes that the Soviet Union made – alienating potential allies, breaking trust at home and abroad, rejecting property rights and predictable rule of law.

And as pointed up above the location of the Pompeo speech was no accident. It is the Nixon library – the archive of the President that set in motion along with his National Security Advisor Henry Kissinger, the dramatic alteration of US policy toward Mao’s China – one of the seminal diplomatic events of any President in the post WWII period. And why deliver the speech there? Well, to pronounce that policy a dramatic mistake:

As time went on, American policymakers increasingly presumed that as China became more prosperous, it would open up, it would become freer at home, and indeed present less of a threat abroad, it’d be friendlier. It all seemed, I am sure, so inevitable.  But that age of inevitability is over. The kind of engagement we have been pursuing has not brought the kind of change inside of China that President Nixon had hoped to induce.

This puts the end of the decades long engagement. ‘Engagement is dead’.

But is it?

Image Credit: Erin Schaff/The New York Times

What Comes Next for the Global Order?

 

Much hurried prediction, or more correctly, should I say speculation has been expressed by IR experts over the  impact of the Covid-19 pandemic on the current global order. One of IR’s leading lights, Richard Haass, President of CFR has been ‘front and center’  in painting a post Covid global order. It’s not very pretty, nor much of an order. In an April article in Foreign Affairs  he describes the future global order in quite ‘downbeat’ terms:

Yet the world that will emerge from the crisis will be recognizable. Waning American leadership, faltering global cooperation, great-power discord: all of these characterized the international environment before the appearance of COVID-19, and the pandemic has brought them into sharper-than-ever relief. They are likely to be even more prominent features of the world that follows.

He suggest further that even were Biden to be elected the effort to  bring a more traditional global governance system would be stymied:

Even if a foreign policy “traditionalist” such as former Vice President Joseph Biden wins the November presidential election, resistance from Congress and the public will prevent the full-scale return of an expansive U.S. role in the world. And no other country, not China or anyone else, has both the desire and the ability to fill the void the United States has created.

Given this rather grim near future I was caught by the Foreign Policy article by Oona Hathaway and her Yale Law School colleague, Scott Shapiro:

The crisis offers the opportunity to transform the global order from one dominated by a single state, or a small number of them, to a more equal system of global governance. It’s time to stop waiting for a hegemon to come to the rescue and instead try to address more of our global problems through independently organized global clubs.

So, no more hegemon – no US; no China. Instead moving forward and in a position to tackle global governance challenges will be ‘global clubs’.  The characteristics of such club membership – that is excluding members who fail to adhere to the agreed rules – make such clubs reasonable, in fact highly useful  where great power leadership has receded. As the authors suggest:

The idea of decentralizing global governance to shifting alliances of like-minded nations is not entirely new. Much of international law already operates on precisely this principle of shared interests and decentralized enforcement. But unmooring global governance from reliance on a hegemonic actor, and from the global institutions we’ve known since the end of World War II, could become reality in part because of the conditions created by the pandemic.

As they conclude: 

The club rules are enforced not by a hegemon but by members directly by denying the benefits of membership to bad actors. One advantage of such decentralized governance is that any state can start a club. It doesn’t take a hegemon; it just takes a good idea.

These global clubs certainly bring a shift in global governance leadership and policymaking. Their global club thinking may be just the ‘tonic’ needed for what we’ve identified – that is the Vision20 principals, Colin Bradford, Yves Tiberghien and myself – as ‘effective multilateralism. We have described effective multilateralism, at least with  respect to the G20 leaders as “the elective, targeted, and purposeful actions with varied coalitions. We believe encouraging effective multilateralism is a vital tool in meeting the challenges the G20 and the international system face.” 

What Hathaway and Shapiro have offered possibly is a logic for organizing such coalitions. While we have witnessed various multilateralism initiatives, note the ‘Alliance for Multilateralism‘ offered up initially by the foreign ministers of France and Germany. What we haven’t seen is action.

Now is the time.

Image Credit: picture-alliance/AP/photo/T. Camus