Is Multilateralism the Answer to Preserving the Rules-Based Global Order? A CPTPP-Led Approach

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It is evident that the world is changing. The strategic withdrawal by the United States from the global rules-based system has raised new questions about the future of global governance. Most nations continue to hold on to the principles of global collaboration, and for a good reason. The existing system has allowed for unparalleled economic growth in the post-World War II era through free trade. Can the rules-based system survive? I believe the existing global governance structure can be preserved through the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP).

The CPTPP: A Shield and a Standard-Setter

The CPTPP is one of the most sophisticated trade agreements in the world, encompassing free trade in goods and services, robust intellectual property protection, facilitated business travel, stringent labor standards, and government procurement opportunities. The trading block consists primarily of middle powers: Australia, Brunei Darussalam, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, United Kingdom, and Vietnam.

The CPTPP’s main strength and concurrent limitation is the absence of China and the United States. This is a limitation because it excludes the two largest global markets. It is also a strength because the absence of these two powers shields the trading block from the erosion of the institutional trade framework under the current US administration's bilateral focus and from China's geopolitical ambitions.

Importantly, the CPTPP's provisions serve as a modern, high-standard template for global governance that surpasses the often-stalled frameworks of the World Trade Organization (WTO) that is narrowly focused on trade and depends on consensus for its internal organization. Specific rules, such as those on digital trade, state-owned enterprises (SOEs), and emphasis on regulatory coherence, establish a predictable and transparent environment for international commerce

The Geopolitical and Value-Based Core

The strategic context for the CPTPP is defined by two undesirable trends impacting the rules-based system: erosion by US Strategic Withdrawal and challenge from China. The current US administration's hesitation to take on a global leadership role and its focus on immediate, protectionist interests, as evident by the rapid implementation of blanket tariffs, has undermined the system it historically guarded. The most direct evidence of this step back was the US withdrawal from the original Trans-Pacific Partnership (TPP) agreement on January 23, 2017. China is attempting to fill this leadership gap by promoting a global system that advances its own interests and political ideology. This effort includes funding massive infrastructure projects under the Belt and Road Initiative (BRI) and promoting alternative financial bodies like the Asian Infrastructure Investment Bank (AIIB) to create parallel governance structures. This vision emphasizes strict state sovereignty and non-interference, directly challenging the liberal norm that embeds democracy and human rights into international relations.

While the CPTPP was formed primarily to facilitate trade, it is also a value-based block, united by a desire to resolve disputes peacefully and maintain a rules-based global order. The partnership between established democracies and emerging democracies creates opportunities to strengthen democratic institutions through trade and diplomacy. The only two non-democracies, Vietnam and Brunei, joined as original signatories, while future accessions are overwhelmingly expected to be democracies, reinforcing the block’s long-term liberal alignment.

An Ambitious, Value-Based Expansion

To succeed in maintaining the current global system of established norms, the CPTPP must embark on an ambitious, value-based expansion. This includes countries in the Americas, such as Colombia, Costa Rica, and Ecuador.

The European Union (EU) is another important potential member. Its large market size and compatible core values make it a perfect fit. However, the EU’s stringent regulatory frameworks have strained trading relations in the past. To pave the road for EU accession, a sustained and collaborative approach is needed to reconcile the CPTPP's high-standard rules with the EU's historic regulatory autonomy. There are positive signs that this gap can be closed, such as the inaugural 2025 Trade and Investment Dialogue between the two blocks, aimed at promoting trade.

Internal Cohesion and Future Resilience

While the CPTPP offers a robust framework, its effectiveness depends on maintaining internal cohesion. Potential challenges include differences in domestic standards, such as labour and environmental regulations. Member states do not always share geopolitical priorities. It will be important to prevent these differences from negatively impacting trade relations. While the CPTPP includes a comprehensive dispute settlement mechanism, its success relies on consistent and timely application to build confidence in the bloc's legal framework.

By consistently maintaining its high-standard rules and successfully integrating new members that commit to its values, the CPTPP can solidify its role as a vital pillar of multilateralism, ensuring that the global system of established norms remains resilient in a time of political upheaval.

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