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Resisting the coercive new global trade order

22 0
16.08.2025

How should India respond to the challenges posed by the US tariffs of 50%? Some believe that this crisis presents an opportunity for India to implement deeper economic reforms aimed at enhancing the overall competitiveness of its economy. Others argue that India should intensify its efforts to integrate with non-American economies, such as the EU.

While these measures are undoubtedly necessary, many Indian analysts overlook a larger issue — the new ideological contestation on the global stage aimed at reshaping international law norms governing world trade. Many believe that US President Donald Trump has upended the rule-based international trading order established by the General Agreement on Tariffs and Trade (GATT) and the World Trade Organization (WTO).

However, there is a prevailing belief that this disruption is temporary. Once Trump leaves office, the status quo would be restored. This view, however, is overly sanguine. There appears to be a bipartisan consensus among both Republicans and Democrats in the US regarding the substance of Trump’s actions, even though they may differ in their approach. The Biden administration did little to revive the moribund WTO during its term from 2020 to 2024.

Trump has inaugurated a new chapter in the global imperial project, which his successor may continue. Efforts are underway to establish new rules for international trade. This was made clear by ambassador Jamieson Greer, the US Trade Representative. Greer posits that the US has initiated a new “Trump round” of trade negotiations that, unlike previous rounds at the GATT and WTO, will not rely on consensus-based........

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