The BRICS and global governance: China’s contradictory role

The impact of rising powers generally and the BRICS - Brazil, Russia, India, China and South Africa - in particular on the existing global order has become controversial and contested. Donald Trump’s nationalist foreign policy agenda has raised questions about the BRICS willingness and capacity to provide leadership in place on an American administration that is increasingly inward looking. As a result, the rise of BRICS poses potential normative and structural challenges to the existing liberal international order. Given its geoeconomic significance, China also poses a potential problem for the other BRICS, as well as the governance of the existing order more generally. Consequently, we argue that it will be difficult for the BRICS to maintain a unified position amongst themselves, let alone play a constructive role in preserving the foundations of ‘global governance’.     

From the New International Economic Order to the G20: how the ‘global South’ is restructuring world capitalism from within

Abstract

In the early 1970s the G77 and the Non Aligned Movement ( nam ) challenged the material and intellectual pillars of the postwar liberal capitalist system through collective action at the UN to establish a New International Economic Order ( nieo ). The aim was to complete the ‘emancipation’ of the ‘global South’ by creating binding institutional frameworks, legal regimes and redistributive mechanisms correcting historically constructed core–periphery disparities. That ambitious effort failed in the face of ‘Northern’ resistance and national segmentation within the nam . Today re-emerging states of the global South are engaged in a more successful effort to gain voice and alter international hierarchy by claiming a central place in the world capitalist system and restructuring it from within. The vertical late-modern world system centred in the Atlantic and ordered by the ‘West’ is thus gradually giving way to a polycentric international structure in which new regional and transnational ‘South–South’ linkages are being formed. This paper critically reviews the transformation and argues that, while it is creating long sought-for conditions of relative international equality, it has also dampened the emancipatory promise of the anti-colonial struggle.     

China’s road from socialism to global capitalism

Abstract

China’s engagement with global capitalism is driven by the emergence of a statist and private transnational capitalist class. Nevertheless, aspects of China’s foreign policy from the Maoist period still echo today. Consequently, elements of third world solidarity and opposition to Western domination continue to exist as China’s past is redefined to further its transnational strategies in Latin America and the US. The main Chinese investments in South America have been in energy and infrastructure among the left lead countries of the Pink Tide. In the US, Chinese capital has grown despite heated political rhetoric. This paper will examine how economic ties in South and North America reflect past and present conditions, and if China has initiated a non-Western globalisation.     

State transformation and cross-border regionalism in Indonesia’s periphery: contesting the centre

Abstract

This article examines how the decentralisation and fragmentation of the Indonesian state and resultant central–local dynamics affect cross-border regionalism in Indonesia’s periphery. It argues that cross-border regionalism projects are best understood as sites for scalar contestation over regulatory control between central and local government. Moreover, scalar contestation around cross-border regional projects is characterised by the struggles to control relationships with transnational capital between elites operating at different tiers of the state. When elites at different scales have conflicting interests and strategies, this can cause policy incoherence, inhibiting the development of cross-border regionalism. Conversely, when they align, and intersect with the interests of transnational business, cross-border regionalism can succeed. To illustrate the argument, this article utilises the comparative case studies of the Batam free trade zone and West Kalimantan–Sarawak cross-border cooperation.     

Eastern Africa’s tobacco value chain: links with China

Abstract

While debates continue about China’s role in sub-Saharan Africa, there is growing consensus that China is a different kind of development partner. One distinct feature of Chinese partnerships is that they include support for the tobacco industry, a sector other donor states and institutions shun. Not only is tobacco a primary agricultural export in a number of Africa states, the state-owned Chinese National Tobacco Corporation is the largest tobacco company in the world. This paper analyses Chinese support for the tobacco industry in three states – Zimbabwe, Malawi and Zambia – documenting how co-operation is shaped by Chinese state capitalism and assessing the development and governance implications. Following an introduction situating the analysis within the context of China–Africa co-operation and tobacco’s global value chain, Chinese engagement in each country is analysed. Findings indicate that, despite differences across case studies in terms of development outcomes, common governance implications are apparent. African elites initiated tobacco-related co-operation to meet their interests, but Chinese interests dominated implementation. Consequently, Chinese investments have maintained hierarchal governance of an exploitive and harmful industry. Analyses of Chinese African co-operation need to move beyond public–private paradigms and interrogate the nuances of Chinese state capitalism in Africa.     

China’s ‘New Silk Roads’: sub-national regions and networks of global political economy

This paper argues that the Chinese government’s ‘belt and road’ initiative – the Silk Roads vision of land and maritime logistics and communications networks connecting Asia, Europe and Africa – has its roots in sub-national ideas and practices, and that it reflects their elevation to the national level more than the creation of substantially new policy content. Further, the spatial paradigms inherent in the Silk Roads vision reveal the reproduction of capitalist developmental ideas expressed particularly in the form of networks, which themselves have become a feature of contemporary global political economy. In other words, the Silk Roads vision is more of a ‘spatial fix’ than a geopolitical manoeuvre.     

The great paradox: how Obama’s opening to Cuba may imperil the country’s reform process

This article examines the kind of development and political model most likely to emerge in Cuba, particularly in the wake of the gradual US–Cuban normalisation currently taking place. The rapprochement process, culminating with President Obama’s historic visit in March 2016, has unleashed stiff resistance in both countries. The liberal democratisation paradigm is held up against what we have termed ‘socialist neo-patrimonialism’, with both seen as alternative tools for assessing the direction of social transformations underway in Cuba, focusing on the debate about the role of the national private sector. Paradoxically, normalisation with the USA may so far have had the contrary effect of what President Obama had in mind in this respect: judging from the 7th Congress of the Communist Party in April 2016, it seems that resistance against economic reforms has hardened, caused by a fear that Obama’s charm offensive, combined with a strengthened entrepreneurial sector, will undermine the entire revolutionary project. The article concludes with a discussion of four development scenarios.     

ASEAN At 50: the global political economy’s contribution to durability

Why has the Association of Southeast Asian Nations (ASEAN) proved so durable as a regional organisation given the many challenges it has faced since its inception in 1967? This analysis makes use of an historical institutionalist approach. It shows how the global political economy, through the injection of aid and investment and the development of production networks and increased trade, generated a generally positive regional economic environment that encouraged cooperation. It also provided the resources for the gradual institutionalisation of ASEAN and the expansion of its reach through the establishment of associated regional organisations. The result was that these factors, in combination, contributed to ASEAN’s staying power.     

Learning from your comrade’s mistakes: the impact of the Soviet past on China’s future

While the Soviet Union imploded in the midst of its attempt to reform itself, more than a decade later China stands as a testament to the resilience of Communist rule. I suggest that one reason China has been able to stave off a regime collapse is that Chinese leaders have sought to learn from the collapse of the Soviet Union and are seeking to adjust their policies to buttress their political power. I present evidence in support of this position including statements of political leaders and party insiders, internal government documents, and Chinese scholarship on the Soviet collapse.     

Bureaucratic socialism in reform mode: the changing politics of Cuba’s post-Fidel era

Standard wisdom explains Cuba’s current transformation as one of economic change but political immobility. However, Cuban politics have also undergone a major change since the handing over of power from Fidel to Raúl Castro – even if the rhetoric used has been one of continuity. This article traces this process by looking at four areas: the depersonalisation and re-institutionalisation of the political structures; the diversification of the public sphere, particularly through the use of digital media; the liberalisation of travel and migration, with its transformative impact on state–citizen relations; and the turn to a moderate foreign policy, as highlighted by the rapprochement with the USA, with its implications for legitimising the underpinnings of Cuban socialism. Although the shift has been well below the threshold of a transition to multiparty democracy, Cuba has evolved from the charismatic model of the past to what can be understood as bureaucratic socialism in reform mode.     

Indonesia’s swift securitization of the Natuna Islands how Jakarta countered China’s claims in the South China Sea

After being a neutral actor for decades in the complex South China Sea (SCS) territorial disputes, Indonesia has seen itself compelled by China’s assertiveness to become firmer about protecting its territorial sovereignty around the Natuna Islands (NI). Jakarta is alarmed by China’s claims that it has undeniable historical fishing rights in the NI territorial waters because they undermine Indonesia’s territorial sovereignty. Our analysis loosely adopts the securitization conceptual framework proposed by the Copenhagen School to reveal that Jakarta swiftly securitized the NI issue between 2014 and 2016. Using a combination of quantitative and qualitative methods, this paper unpacks how the Indonesian printed mainstream media discussed the NI in recent years. By the end of 2016, the Indonesian media portrayed China’s claims that it has historical fishing rights in the NI territorial waters as the most urgent national security threat to Indonesia, i.e. the NI issue was securitized. This analysis shows that the Indonesian people accepted Jakarta’s security discourse, i.e. Jakarta had successfully securitized China’s claims over the NI territorial waters. This paper makes a new contribution to the securitization literature by simultaneously analysing the Indonesian news and social media outlets.     

Anti-Corruption Policy: China’s Tiger Hunt and India’s Demonetization

ABSTRACT

This paper examines the different styles of anti-corruption strategy, particularly at the local level in China and India. In China there has been a central push with a role of anti-corruption agencies that have law-enforcement power. In India there has been a focus on institutional building together with a visible role of the civil society. China has had a top-down approach while India has more of a bottom-up approach combined with top-down initiatives such as demonetization. Interviews with 44 mid-career and senior officials investigate the two approaches and the impacts of anti-corruption measures in China and India. Interviewees support the approaches adopted by China and India but doubt their effectiveness and sustainability. The way forward, they suggest, is to reduce the influence of political parties especially in India and to enhance e-governance in both countries. Experiences of the two countries have significant implications especially on capacity building, institutional development, and law enforcement.     

Between poverty and prosperity: China’s dependent development and the ‘middle-income trap’

Despite China’s rapid economic growth in the past three decades, Chinese officials and experts are increasingly worried that the country is slowly heading towards the ‘middle-income trap’. The fear is that China might suffer the same stagnation and turbulence as Latin American economies did in the 1980s and 1990s. Will China be able to avoid this trap? Building on the insights of world-systems theory, this paper argues that China’s dependent development, although enabling it to escape the ‘poverty trap’, is likely to bog it down in the ‘middle-income trap’. China’s heavy reliance upon foreign technologies and investment has harmful effects on its economy. Dependent development not only increases China’s economic vulnerability but also truncates domestic industries. To escape the trap, the Chinese state should play a more active role in shifting its growth model away from low-end commodity manufacturing to knowledge-based, high value-added activities.