Part 4/15:
The world order has been sustained by institutions like the United Nations, the World Trade Organization (WTO), and the International Monetary Fund (IMF). However, these bodies are increasingly paralyzed due to geopolitical rivalries and internal dysfunction.
The WTO’s Paralysis
The WTO’s dispute resolution mechanism has effectively been sidelined since 2017, as the U.S. has blocked the appointment of judges to its appeals court. This is not merely procedural; it reflects a strategic refusal to endorse rulings that are unfavorable, especially relating to China’s subsidies. Consequently, multilateral trade enforcement is weakening, leading countries to pursue bilateral agreements, retaliate, or erect trade barriers—further fragmenting the global trading regime.