One World, Two Systems: Times of India

The world’s major economies have extraordinary power to promote policy initiatives though the G20 summit in Osaka may be “remembered for ushering in the birth of a ‘one world two systems’ global order,” explains Nayan Chanda, YaleGlobal’s founding editor, in his Times of India column. He adds that growing rivalry on multiple levels could make conflict more likely. The Chinese and US presidents failed to settle differences over trade and security around technologies, as both men seem confident the other will cave in feeling more pain. China balks at abandoning its subsidy structure and state-owned businesses that have created millions of jobs. The trade war forces other governments and companies, part of a complex global supply chain, to adjust. “Of course, merely joining BRI or using Huawei technology alone would not divide the world into two camps,” Chanda writes. “It is the entire financial and technological ecosystem surrounding China’s signature infrastructure project – and the surveillance-based governance, military, and security cooperation accompanying it – that has the makings of a different political system.” Some companies may choose sides, others will diversify. China suspects that the US goal is to block a competitor’s rise and could decide the time is right to pursue its own goal of global dominance. – YaleGlobal