Regional trade alliances and economic integration — especially the one emerging between China, ASEAN and countries in the Persian Gulf — are offering stability for a global economy on the edge. The world’s poles are shifting to fill the gap left by an increasingly isolationist United States.

America’s tariff agenda has taken global trade hostage to begin this year. While the strongman tactics employed by Trump’s administration are netting favorable results in some ways, China has been able to hold out from the pressure, showing flaws in America’s plan.

By drawing a parallel between U.S. interest in Greenland and its stance on Taiwan, China has mounted a carefully calibrated rhetorical response that highlights perceived inconsistencies in American positions on sovereignty, positions itself as a defender of international norms, and gently tests the cohesion of Western alliances.

The deal will spell the end of WTO’s system of setting tariffs by consensus, which has been in operation since the inception of the world body in 1995. It will usher in a new era in which Washington alone will set tariff rates.

The U.S.-dominated international system is unraveling as major powers and Global South countries reject American pressure and assert their independence. Without a shift toward cooperation and respect for multipolarity, the U.S. risks becoming the target of a hostile global realignment rather than leading a stable new order.

The extreme radicalism of the U.S. president’s thinking, coupled with the chaotic nature of his policies and their implementation, has significantly accelerated fragmentation and may even precipitate the collapse of the global governance structure.

Arbitrary policies introduced by the U.S. president have accelerated a shift of the international order and introduced new dynamics to relations between major powers. Most countries are reluctant to follow Trump’s lead because they have little to gain by doing so. Several are quietly thinking about ways to turn his disruptions into opportunity.

Since his return to the White House, Donald Trump has attempted to reduce the U.S. focus on Europe in order to shift resources to the Indo-Pacific. But geopolitical rivalry can neither resolve America’s own problems nor the challenges facing the world.

After a decade of deglobalization and U.S. geopolitics, globalization is no longer at crossroads, but unraveling. The longer this plunge prevails, the greater will be its costs.

With the Global South rising, Europe’s renewed emphasis on strategic independence from the United States could partially offset its relative decline in hard power and accelerate global multi-polarity.