The new way is not about dismantling anything. It simply rejects American hegemonic thinking and embraces the Oriental wisdom of consultation and co-governance. This approach, which transcends the American model, represents the future.
At the Shanghai Cooperation Organization Tianjin Summit in September, China unveiled the Global Governance Initiative, focusing on what kind of system to build and how to reform and improve global governance. In a complex and volatile world, we must transcend the current cycle and adopt a long-term perspective to understand the shifting trends of the era. We need to uphold multilateralism in spite of the challenges because it offers a fundamental path for the great rejuvenation of the Chinese nation and building a community with a shared future for humanity.
Multilateralism is currently under serious threat. The initiative highlights multilateralism as the core concept of the global order, and multilateralism should be defined by the principles of extensive consultation, joint development and shared benefits. Its institutional hallmarks are sovereign equality and non-discrimination. A key example is the most-favored-nation treatment principle, which requires preferential treatment granted by one country to another to be immediately and unconditionally extended to a third country.
The Trump administration has taken to “reciprocal tariffs” and market access as bargaining chips in every trade negotiation to extract massive tariff revenues, zero-tariff market access, the reshoring of manufacturing investments and other strategic considerations of the United States. For example, it has coerced Canada into abandoning its recognition of Palestine, attempted to strong-arm India to stop importing oil from Russia, forced Brazil to scrap judicial review of its former president and pressured the BRICS bloc to halt the process of de-dollarization — among other things.
The MFN principle has also been severely undermined, leading to discrimination among countries and preventing third countries from automatically benefiting from the negotiation outcomes. Moreover, reciprocal tariffs per se violate U.S. commitments under the WTO. This has wreaked havoc on the multilateral trading system, which has operated for nearly 80 years. The United States has overstretched the concept of national security to justify its acts, but this is untenable under international law.
Second, multilateralism relies on the leadership of major powers. In practice, it depends on major powers providing the driving force. But this cannot be done by any single major power. Thus, a scenario might invite hegemony or pseudo multilateralism. The actions of the United States since the end of the Cold War are a case in point. Multiple major powers should interact with one another in a spirit of mutual respect and cooperation while also being bound by mutual restraint. Consensus is first formed among these major powers. Through their collective leadership, the consensus of all members should be fostered, thereby endowing the negotiation process with legitimacy.
The Global Governance Initiative emphasizes that major powers, in particular, should take the lead in advocating and upholding international law. The two major cornerstones of the rule of law — trust and rules — are required of major powers, because only major powers have the capacity to drive or destroy them. In view of this, major powers must maintain good faith and restraint, and lead by example in upholding the rules.
Third, multilateralism safeguards the interests of the majority of countries. It particularly serves the interests of emerging market countries, developing countries and smaller nations such as Singapore, Belgium, Switzerland and Austria. These countries often find themselves at a disadvantage in one-on-one bilateral negotiations, where they have limited capacity or bargaining power. For example, some ASEAN countries, whose exports are heavily reliant on the U.S. market, are frequently forced to accept unequal treaties in bilateral tariff negotiations with the United States. They may even be coerced into complying with U.S. demands to crack down on China’s “transshipment trade.” However, if the principles of multilateralism were truly observed, such inequitable outcomes would be far less likely to occur.
The Global Governance Initiative recognizes that with the rise of emerging markets and developing countries, the most pressing challenge for current international mechanisms is the severe under-representation of the Global South. Multilateralism is the fundamental approach to reforming and improving global governance. It is key to enhancing the representation and voice of developing countries and ultimately achieving the democratization of international relations. Against a backdrop of rising unilateralism and hegemonism, multilateralism represents a crucial counterbalance against bullying and the law of the jungle.
Fourth is a question: Will multilateralism prevail? The current challenges apparently stem from the consensus-based decision-making mechanism, but fundamentally this is due to a lack of leadership. The argument that “the U.S. is unwilling and China is unable” is overly simplistic. In fact, China has become a key player and driving force in the shift toward a multipolar world. Whether it’s the long process of reforming the Bretton Woods system or the creation of new multilateral mechanisms, such as the Asia Infrastructure Development Bank, the New Development Bank, and the International Mediation Institute, China is taking a leading role.
While some label China as a “benign hegemon”, it will never adopt the hegemonic approach of the United States. This is because China has an inclusive cultural tradition that contrasts with the missionary culture of the West. A Chinese saying captures this best: “If people from afar do not submit, then use cultural appeal to assimilate them.” Moreover, China adheres to a rule of thumb — extensive consultation, joint development and shared benefits in foreign relations.
The Global Governance Initiative underscores the fact that multilateralism must be people-centered. The people of all countries are the core participants and beneficiaries. Implementing multilateralism requires both robust domestic economic support and strong popular backing. The U.S. withdrawal from multilateralism is rooted in its domestic economic imbalances, which have left many Americans unable to fully reap the benefits of globalization.
In response to economic challenges, China has rolled out a series of counter-cyclical policies since September. After the Trump administration initiated a sweeping global tariff hike in April, China redoubled its efforts to expand domestic demand and unlock market potential. At the same time, it has rallied the Global South to stabilize the global economy and improve people’s well-being.
In summary, the new multilateralism is not about dismantling the existing international order or building a separate system. It is rooted in the United Nations and the Bretton Woods system established after World War II. It rejects American hegemonic thinking and embraces the Oriental wisdom of consultation and co-governance. This approach, which builds on and transcends the American model, represents the future of global governance.
