The Reconstruction and Innovation of International Economic and Trade Rules

Abstract

In the 21st century, the international political and economic landscape has undergone significant changes, but current international economic and trade rules have lagged behind the development of the global economy, trade, and investment. A new international landscape, an emerging economic mode, and the damage from trade protectionism and COVID-19 all call for the reconstruction and innovation of international economic and trade rules. At the same time, the WTO multilateral trading system is suffering institutional problems in decision-making, the Dispute Settlement System, and regulations. Externally, countries are shifting their interest to regional trade agreements and paying less attention to the WTO. Moreover, the WTO fails to keep pace with the new rule-making in emerging fields and does not balance the distribution of benefits between developed and developing countries. With the deepening of economic globalization that centers on global industrial and value chains, all systems and institutions of international economic and trade rules have witnessed profound adjustments and transformations featuring the rising status of regional trade agreements and developing economies such as China. The key issues in the reconstruction of international economic and trade rules have turned to green and sustainable development, social protection for labor, and behind-the-border measures. The optimal way to reconstruction is adherence to the multilateral framework with the WTO as its core and, in the meantime, appropriately draw on the beneficial components of regional and plurilateral trade agreements to promote the development of international economic and trade rules at multiple levels.