Category Archives: PRC

Systemic Realignment and the Long Transition.

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The last few decades have seen a world in increasing turmoil. Technological advances, climate deterioration, sharpening domestic and international political conflict and global pandemics are just some of the hallmarks of the contemporary world moment. In this essay I hope to outline some of the dynamics of this time by conceptually framing its recent historical underpinnings.

Think of international relations as a complex system. Because it involves living creatures (humans), rather than inanimate objects, we can think of it as an ecosystem made up of people and their institutions, norms, rules and the behaviours (confirmative or transgressive) that flow from them. The world order is comprised of various subsystems, including regional (meso) and national (micro) systems that encompass economic, political/diplomatic and socio-cultural features linked to but distinct from the global (macro) system.They key is to understand international relations and world politics as a malleable human enterprise.

International systems are dynamic, not static. Although they may enjoy long periods of relative stability or stasis, they are fluid in nature and therefore prone to change over time. In the last century stable world order cycles have become shorter and transitional cycles have become longer due to a number of factors, including technological advances in areas such as transportation and telecommunications, demographic shifts, the globalisation of production, consumption and exchange, ideological diffusion, cultural transfer and increased permeability of national borders. Status quos are more short-lived and transitional moments–moments leading to systemic realignment–are decades in length.

We are currently in the midst of such a long transitional moment.

In fact, the post-Cold War era is a period of long transition. After the fall of the USSR in 1990, the international order moved away from a tight bi-polar system where two nuclear-armed superpowers and their respective alliance systems deterred and balanced each other through credible counter-force based on second-strike capabilities in the event of strategic nuclear war. The bipolar alliance systems were “tight” in the dual sense that their diplomatic and military perspectives were closely bound to those of their respective superpowers (think NATO and the Warsaw Pact), and States in each security bloc tended to trade preferentially with each other (known as trade and security issue linkage).

The geopolitical map of the Cold War was divided into shatter and peripheral zones, with the former being places where direct superpower confrontation was probable and therefore to be avoided (such as Central Europe and East Asia), and the latter being places where the probability of escalation was low and therefore conflicts could be “managed” at the sub-nuclear level because no existential threats to the superpowers were involved (SE Asia, Latin America, Sub-Saharan Africa and the South Pacific come to mind). Here proxy wars, guerrilla conflicts and direct superpower interventions could flourish as trialing grounds for great power weaponry and ideological supremacy, but the nature of the conflicts were opportunistic or expedient, not existential for the superpowers and their major allies. Escalation was dangerous in shatter zones; escalation was limited in the periphery.

With the demise of the USSR the bipolar world was replaced by a unipolar world where the US was the sole superpower and therefore considered the “hegemon” (in international relations jargon) where its economic, military and political power was unmatched by any one country or group of countries. This is noteworthy because “hegemonic” superpowers intervene in the international system for systemic reasons. That is, they approach the international system in ways that preserve an institutional and regulatory status quo that supports and reaffirms their position of dominance. In contrast, great and middle powers intervene in the international system in order to pursue national interests rather than systemic values. Absent a hegemon to act as systems regulator, this may or may not lead to disorder.

The hegemonic premise is the conceptual foundation of the liberal international foreign policy approach adopted by US administration and many of its allies (including NZ) during the post -Cold War period and which persists to this day. For the West, the combination of market economics and liberal democracy is the preferred political-economic form because it is seen as the best way to achieve peace and prosperity for its subjects. As a result, it needs to be expanded globally and supported by a “rules-based” international institutional order crafted in its image. Although this belief was honoured most often in the breach (as any number of US-backed military coups d’état demonstrate), it constituted the ideological foundation for post-Cold War international relations because there was no global alternative to it.

US dominance as the sole superpower and global “hegemon” lasted little more than a decade. After the 9/11 attacks (which were not, in spite of their horrifying spectacle, an existential threat to the US unless it over-reacted), the US engaged in a series of military adventures under the umbrella justification of fighting the (sic) “war on terror.” In doing so it engaged in what may be called neo-imperial hubris, which in turn led to neo-imperial overreach. By invading Iraq and extending the (arguably legitimate) original irregular warfare mission against the Taliban and al-Qaeda in Afghanistan into an open-ended nation-building exercise, then invading Iraq on a pretext that it was involved in the 9/11 plot while conducting counter-terrorism operations in the Middle East, Sub-Saharan Africa, Latin America, Southeast Asia and even in the wider European Rim, the US expended vast amounts of blood and treasure in pursuit of the unachievable goal of redrawing the map of the Middle East in an US-centred image.

That is because although terrorists can be physically eliminated, the ideas that propel them cannot, and unless there is an ideological project that can counter the ideological beliefs of the “extremists,” then the physical wars are a short-term solution to a long-term problem. The US (and the West in general) lacked an ideological counter to Wahabism and Salafism, so the roots of Islamic extremism remain even if its human materiel has been depleted. In addition, pursuing a war of opportunity (rather than of necessity) in Iraq only generated concern and resentment in the Arab world and laid the foundations of the emergence of ISIS as an irregular Sunni fighting force, prompted Iran to pursue its nuclear deterrence option, and diverted resources from the fight in Afghanistan. That in turn allowed the latter to turn into a tar baby for the ISAF coalition fighting the Taliban and various Sunni irregular groups, which eventually produced the graveyard of Empire scenes at Kabul and Bagram airports in 2022.

More importantly for our purposes, despite its surface appearances and the claims of some scholars that a unipolar international hierarchy is the most stable systemic arrangement, a unipolar world is inherently an unstable world. As the hegemon attempts to maintain its dominance in the international order by engaging in wars of conquest, military interventions in peripheral areas or by attempting to be the world’s “policeman” in parallel with economic and diplomatic efforts across the globe, it expends its power on several dimensions. At the same time, pretenders to the throne build their power while avoiding direct confrontations with the superpower until the balance shifts in their favour and the time becomes ripe for a challenge. That is the time when the knives come out. That time could well have arrived and the moment of long transition may be coming to a head.

The move from a unipolar to a multipolar world still in the making began on 9/11 and continues to this day. There is good and bad news in this transition. The good news is that multipolar systems characterised by competition and cooperation among a small odd number (3-7) of great powers is arguably the most stable of international orders because it allows each State to form alliances on specific issues and balance or counter-balance the ambitions of others. The preferred configuration is an odd number because that avoids deadlocks and facilitates cross-cutting alliance formation on specific issues. This leads to a situation where balancing becomes a primary feature and objective of the international system as a whole. In a sense, it is the geopolitical equivalent of the invisible hand of the market: actors act in pursuit of their preferred interests and with a desire to secure preferred outcomes, but it is the aggregate of their actions that leads to balancing and realignment. Actors may wish to steer outcomes in their favour but what eventuates is seldom in line with their individual preferences. Instead, multipolar “market” clearance rests on a dynamic balance of great power national interests..

The bad news is that in the period of transition between unipolar and multipolar orders, consensus on the rules governing State behaviour and adherence to institutional edicts and mores breaks down. International norm erosion becomes widespread, uncertainty becomes generalised and conflict becomes the systems regulator. A lack of enforcement capability by international organisations and States themselves allows norm violations to proceed unchecked and perpetrators to act with impunity (as see, for example, in Syria, the South China Sea or the Ukraine). While geopolitical shatter and peripheral zones continue to exist (albeit not as they existed during the Cold War), the majority of the world becomes contested space in which State, multinational and non-state actors vie for influence using a mix of power variables (say, for instance, chequebook and debt diplomacy, direct influence operations or trade and security agreements). This includes cyber- and outer space, which are increasingly at the forefront of hostile great power contestation.

In a sense, the transitional moment marks a return to a Hobbesian “state of nature” where, absent a Leviathan (the hegemonic power), States and non-state international actors use their power to achieve self-interested goals rather than communitarian ideals.

Transitional conflicts may be economic, cultural, political, military or some combination thereof. In the present moment conflicts are increasingly hybrid in nature, with mixes of persuasive and dissuasive (using mixtures of soft, hard, smart and sharp) power operating on multiple dimensions that, due to technological advancements, do not respect national sovereignty. States and non-state actors now appeal to and influence the predilections of foreign audiences in direct ways that might be called “intermestic” or “glocalized:” what is foreign is also domestic, what is local is global. For hostile actors, the objective of hybrid warfare campaigns that use direct influence tactics is to undermine the enemy from within rather than attack it from without.

There is little governmental filter or defence against such penetrations (say, on social media) and the responses are usually reactive rather than proactive in any event. This is a major problem for liberal democracies that value freedoms of speech and association because often the aim of recent adversarial sharp power campaigns (commonly labeled as disinformation campaigns) is to corrode domestic support for democracy as a form of governance. Because of their repressive nature, authoritarian regimes do not have quite the same problem when confronted by foreign direct influence operations. In that sense, as China and Russia have understood, freedoms of speech, movement and association in liberal democracies constitute Achilles heels that can be exploited by hybrid power direct influence campaigns.

Norm erosion, increased uncertainty and the rise of hybrid conflict as the systems regulator have encouraged the emergence of more authoritarian (here defined as command-oriented rather than consultative in approaches to governance and policy-making), less Western-centric approaches to international relations. The liberal international consensus failed to deliver on its promises in most of the post-colonial world as well as in many advanced democracies, so alternatives began to appear that challenged its basic premise. Many of these have a regressive character to them, characterised by a shift to economic nationalism, anti-immigration policies, and a focus on restoring “traditional” values. After decades of promoting free trade, multilateralism and open borders, the last decade has seen a turn inwards that has encouraged nationalistic authoritarian solutions to domestic and international problems.

National populism is one manifestation of the rejection of the liberal democratic order, and the Asian Values school of thought converged with anti-colonial and anti-imperialist sentiment to reject liberal internationalism on the global plane. Instead, the emphasis is on efficiency under strong centralised leadership grounded in nationalist principles rather than on transparency, multilateralism, inclusion and representativeness. Throughout the world democracy (both as a form of governance as well as a social characteristic) is in decline and authoritarianism is on the rise, with their attendant influence on the conduct of foreign policy and international relations.

This brings up one more aspect of transitional moments leading to systemic realignment: competition between rising and declining powers.

The shift between international systems is at its core the result of competition between ascendent and descend great powers. Ascendency and decline can be the result of economic, military, social or ideological factors. States in decline will attempt to maintain their positions against the challenges of new or resurgent rivals. The competition between them can theoretically be managed peacefully if States accept their fate and trust each other to engage with mutual respect. In reality, transitional competition between rising and declining powers is often existential in nature (at least in the eye of those involved), and if multidimensional conflict turns to war it is usually the declining power that starts it. World War I can be seen in this light, and the Russian invasion of Ukraine is a contemporary case in point. Although the US is also in decline, it is undergoing a gradual rather than a rapid loss of power and status. Instead of being a new form of politics, Trump and MAGA are the product of a deep long-term malaise that is as socio-cultural as it is political. Trumpism may act as an accelerant in hastening the US decline but it is not, as of yet, immediately terminal.

Russia, on the other hand, is faced with a societal decline (low birthrates, ageing population, pervasive corruption, export commodity dependence, severely distorted income distribution and social anomaly) that is immediate and likely irreversible. It has an economy equivalent in size to that of Spain or the US state of Texas rather than those of Japan, Germany, China or the US. The invasion of Ukraine, phrased in revisionist “return-to-Empire” language, is a last ditch effort to gain both people and land in order to arrest the decline (because annexing Eastern and Southern Ukraine would provide a younger population of Russian speakers, fertile agricultural lands, a non-extractive manufacturing base and warm water trading ports for Russian goods and imports).

Given Ukraine’s and the NATO response, this is akin to the last gasp of a drowning person. No matter whether it “wins” or loses, Russia will be permanently diminished by having undertaken this war. As it turns out, rather than the US, Russia is the great power whose decline motivated the march to war and which will precipitate the emergence of a new multipolar world order.

What might this new multipolar international system look like? A decade ago there was agreement that Brazil, Russia, India, China and South Africa (BRICS) would emerge as great powers and vie with the US on the global stage. India and China clearly remain as emerging great powers. However, Brazil and South Africa have failed to achieve that status due to internal dysfunctions exacerbated by poor political leadership. Rather than restore some of its Empire, Russia is committing an act of national Hara kiri in Ukraine and has lost its chance at genuine great power status in the post-war future .

So who might emerge if not the BRICs? Germany and Japan clearly have the resources and means to join the new multipolar constellation. Beyond that, the picture is cloudy. The UK is in obvious long-term decline and France is unable to elevate beyond its regional power status. No Middle Eastern, Latin American, SE Asia, Central Asian or African country can do more than become a regional power. Nordic and Mediterranean Europe States can complement but not replace powers like Germany in a multipolar world. Australia and Indonesia may someday emerge as rightful contenders for great power status but that day is a ways off. The US will remain as great rather than a superpower, so perhaps the making of a new multipolar order will involve it, China, India and restored Axis powers finally emerging from the ashes of WW2.

On interesting prospect is that both during the transition to a new multipolar world and once it has consolidated, small and medium States may have increased flexibility nd room to manoeuvre between the great powers. This is due to balancing focus of the new constellation, which its a premium on forging alliances on specific issues. That can encourage smaller states to get more involved in negotiations between the great powers, thereby augmenting their diplomatic influence in ways not seen before. On the other hand, if the opportunity is not recognised by the great powers or seized by smaller States, then the broadening of the multipolar constellation to include satellite alliances around specific great power positions will have been lost.

Hybridity as a transitional hallmark extends beyond warfare and traditional conflict and into the world of so-called “grey area phenomena.” It now refers to the the merging of criminal and State organisations in pursuit of a common purpose that serves their mutual interests. Cyber-hacking is the clearest case in point, where state actors like the Russian GRU signals intelligence unit collude with criminal organisations in cyber theft or cyber disruption campaigns. This hand-in-glove arrangement allows them to share technologies in pursuit of particular rewards: money for the criminals and intellectual property theft, security breaches or backdoor vulnerabilities in foreign networks for the state actor. China. Israel, North Korea and Iran are considered prime suspects of ending in such hybrid activities.

Externalities have been magnified during the long transitional moment. In particular, the Covid pandemic has revealed the crisis of contemporary capitalism and the relative levels of government incompetence around the world. The need to secure national borders and curtail the movement of people and goods across entire regions demonstrated that features like commodity concentration, “just-in-time” production, debt-leveraged financing and other late capitalist features exacerbated the costs of and impeded effective response to the pandemic. In turn, the pandemic exposed government corruption and incompetence on a global scale, where the Peter Principle (a person or agency rises to its own level of incompetence) separated efficient from failed pandemic mitigation policy. Where partisan politics interfered with the application of scientific health policy, the situation was made worse. The US, UK, Russia and Brazil are examples of the latter; NZ, Uruguay, Singapore and Taiwan are generally considered to be examples of the former.

What all of this means is that in the post-pandemic future multipolarity will emerge as the new global alignment under conditions of great uncertainty that produce different rules, prompt institutional reform and which promote different international behaviours. Capitalism will have to adapt and change (such as through near-shoring and friend-shoring investment strategies and a decentralisation of commodity production, perhaps including a return to national self-sufficiency in some productive areas and an embrace of competitive rather than comparative advantage economic strategies). “Living within our means” based on sustainability will become an increasingly common policy approach for those who understand the gravity of the moment.

The most change, however, is in the field of post-pandemic governance. The frailties of liberal democracy have been glaringly exposed, including corruption, lack of transparency, sclerotic systems of representation and voice, and pervasive nepotism and patronage in the linkage between constituents and elected officials. Authoritarians have emerged as alternatives in both historically democratic as well as traditionally undemocratic political systems, with that trend set to continue for the near future. That may or not be a salve rather than a solution to the deep seated problems afflicting global society but what it does demonstrate is that not only is the multipolar future uncertain to discern, but the systemic realignment may not necessarily lead to a more peaceful, egalitarian and representative constellation than what we have seen before.

Only time will tell what our future holds.

*This essay is written as a think piece that will serve as the basis for a public lecture the author will deliver to the World Affairs Forum in Auckland on October 10, 2022.

Media Link: “A View from Afar” on China, Taiwan and future implications.

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The “A View from Afar” podcast with Selwyn Manning and I resumed after a months hiatus. We discussed the PRC-Taiwan tensions in the wake of Nancy Pelosi’s visit and what pathways, good and bad, may emerge from the escalation of hostilities between the mainland and island. You can find it here.

Considering Pelosi’s visit to Taiwan.

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I have said this in other forums, but here is the deal:

PRC military exercises after Pelosi’s visit are akin to silverback male gorillas who run around thrashing branches and beating their chests when annoyed, disturbed or seeking to show dominance. They are certainly dangerous and not to be ignored, but their aggression is about signaling/posturing, not imminent attack. In other words, the behaviour is a demonstration of physical capabilities and general disposition rather than real immediate intent. If and when the PRC assault on Taiwan comes, it will not be telegraphed.

As for why Pelosi, third in the US chain of command, decided to go in spite of PRC threats and bluster. Along with a number of other factors, it was a show of bipartisan, legislative-executive branch resolve in support of Taiwan to allies and the PRC in a midterm election year. SecDef Austin was at her side, so Biden’s earlier claims that the military “did not think that her trip was a good idea” did not result in an institutional rupture over the issue. The show of unity was designed to allay allied concerns and adversary hopes that the US political elite is too divided to act decisively in a foreign crisis while removing a basis for conservative security hawk accusations in an election year that the Biden administration and Democrats are soft on China.

The PRC can threaten/exercise/engage indirect means of retaliation but cannot seriously escalate at this point. It’s launching of intermediate range ballistic missiles over Taiwan and into Japan’s EEZ as part of the response to Pelosi’s visit certainly deserves concerned attention by security elites, as it signals a readiness by the PRC to broaden the conflict into a regional war involving more than the US and Taiwan. But the PRC is too economically invested in Taiwan (especially in microchips and semi-conductors) to risk economic slow downs caused by disruptions of Taiwanese production in the event of war (which likely will be a protracted affair as Taiwan reverts to the “hedgehog” defence strategy common among island nations and facilitated by Formosa’s terrain), and it is not a full peer competitor with the US when it comes to the East Asian regional military balance, especially if US security allies join the conflict on Taiwan’s side.

The PRC must therefore bide its time and wait until its sea-air-land forces are capable of not only invading and occupying Taiwan, but be able to do so in the face of US-led military response across all kinetic and hybrid warfare domains. Pelosi’s visit was a not to subtle reminder of that fact.

So the visit, while provocative and an act of brinkmanship given the CCP is about to hold its 20th National Party Congress in which President Xi Jinping is expected to be re-elected unopposed to another term in office, was at its most basic level simply conveying a message that the US will not be bullied by the PRC on what was a symbolic visit to a disputed territory ruled by an independent democratic government.

For the moment the PRC must content itself with mock charges and thrashing the bush in the form of large-scale military exercises and some non-escalatory retaliation against the US and Taiwan, but it is unlikely to go beyond that at the moment. It remains to be seen if this sits well with nationalists and security hardliners in the CCP who may see what they perceive to be the relatively soft response as a loss of face and evidence of Xi’s lack of will to strike a blow for the Motherland when he has the chance and which could have also served as a good patriotic diversion from domestic woes caused by Covid and the ripple effect economic slowdown associated with it.

In that light, the Party Congress should give us a better idea if the factional undercurrents operating within the CCP will now spill out into the open over the Pelosi’s visit. If so, perhaps there was even more to the calculus behind her trip than what I have outlined above.

Countering coercive politics

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Prime Minister Jacinda Ardern’s two week foreign mission to Europe and Australia was by all accounts a success. She met with business and government leaders, signed and co-signed several commercial and diplomatic agreements including a EU-NZ trade pact, conferred with NATO officials as an invited participant of this year’s NATO’s Leader’s Summit, gave several keynote speeches on foreign policy and international affairs, and in general flew the Aotearoa flag with grace and a considerable dose of celebrity. As she wraps up her visit to Australia, it is worth noting that she gave different takes on foreign policy to different audiences. These may appear incongruous at first glance but in fact display a fair degree of strategic and diplomatic finesse.

In Europe she emphasized the commonality of shared values among liberal democracies across a range of subjects: approaches to trade, security, human rights, representative governance, the rule of law within and across borders, transparency and rejection of corruption, and the common threat posed to all of these values by authoritarian great powers that are trying to usurp the international order via persistent challenges and encroachments on international norms and institutions.

Towards the end of her trip while in Australia, she shifted tack and emphasized NZ’s “independent” foreign policy while dropping the value-based view of a global geostrategic contest marshalled along ideological lines.

Instead, she publicly decoupled the Ruso-Ukrainian war from broader geostrategic competition between democratic and authoritarian-led powers, treating Russian behavior as idiosyncratic rather than as a result of regime type. That framing of the conflict avoids messy arguments about domestic political legitimacy and its impact on great power rivalries. In doing so Ardern reaffirmed the independence of NZ’s foreign policy approach from those of larger Western allies while reducing the possibility of retaliation by the PRC on trade and other diplomatic fronts. The PRC is well aware of the reality of NZ’s recent strategic shift towards the West, but a public position that pointedly refuses to lump together PRC behavior with Russian aggression based on the authoritarian nature of their respective regimes gives NZ some time and diplomatic space in which to maneuver as it charts a course in the international transitional moment that it is currently navigating. That is a prudent position to take and hence a good diplomatic move assuming that the PRC reads the statement as NZ intends it to be read.

The strategy behind this approach–one that recognizes the larger ideological divide at play in international affairs but treats State actions as unique to individual national history and circumstances–might be called a “confronting coercive politics” approach. Allow me to explain.

Politics ultimately is about the acquisition, accumulation, administration, distribution, maintenance and loss of power. Power is the ability to make others bend to one’s will. It can be persuasive or coercive in nature, i.e., it can induce others to act in certain ways or it can compell them to act under (threat of) duress .

Power is relative and variable across several dimensions, including economic, political, military, personal, class, social (including gender and reputational/”influencer” in this day and age), cultural, intellectual and physical. Power is wielded directly or indirectly as a mixed bag of “hard” and “soft” attributes, a dichotomy that is well mentioned in the international relations and foreign policy literatures. Hybrid combinations of soft and hard power have led to “smart” and “sharp” power subsets depending on the emphasis given to one or the other basic trait.

The harder the exercise of power, the more coercive it is. Conversely, the more persuasive the way in which power is welded, the “softer” it is. Moreover, soft power can give way to hard power if the former is unsuccessful in accomplishing desired objectives, and soft power can be used as a follow up to the exercise of hard power. For example, “dollar diplomacy,” whereby large states fund development projects in small states on generous terms, is a form of soft power that can turn into hard power leverage once it becomes debt diplomacy in the form repayment conditions for those projects.

The exercise of State power has been institutionalized, codified and regulated over the years in a variety of contexts, including international relations and foreign policy. That is designed to strip inter-state relations of more overtly coercive approaches in favor of more consensus or compromise-oriented forms of engagement. However, in recent years the shift from a unipolar to a multipolar world-in-the-making has led to international norm erosion and a diminishing of international rule and law enforcement. That has produced a “back to the future” scenario where the international context has regressed to a modern version of the anarchic state of nature that Hobbes warned about in Leviathan. Emerging or restored great powers, particularly but not exclusively the PRC and Russia, have rejected international norms and laws in favor of a “might makes right” approach to international differences. Geopolitical coercion is at the heart of their international perspectives, which challenges the basic rules, norms and institutions of the liberal international order.

The turn towards more coercive forms of international politics is mirrored in the domestic politics of many States, including those led by democratic regimes. It is this–the emergence of coercive politics as a core feature of domestic and international governance–that is the focus of Ardern’s bifurcated foreign policy pronouncements in recent days. Her government understands that “liberal” governance is more than free and fair elections and respect for human rights. It is based on tolerance, compromise and mutual contingent consent between individuals, factions, parties and States.

Being unable to control the domestic regimes that govern States, Ardern’s bifurcated approach to NZ foreign policy (I would not call it a doctrine or anywhere close to one), is focused on countering coercive politics in international affairs. The general value principles of liberalism are upheld, but individual relations with other states, particularly important trade and security partners, are treated with a mix of value-based and pragmatic considerations, with pragmatism prevailing when strategic interests are at stake.

This approach allows NZ to broadly critique a trade partner’s human rights record while increasing or maintaining its trade with that partner in specific commodities under the argument that engagement with NZ’s values is better than isolation from them.

In other words, adherence in principle to liberal international values cloaks realistic assessments of where Aotearoa’s material interests are woven into the global institutional fabric. That may be cynical, hypocritical or short-sighted in its read of how the global order is evolving, but as a short-term diplomatic stance, it splits the difference between adherence to principle and amoral commitment to self-interested practice.

Media Link: “A View from Afar” on NATO and BRICS Leader’s summits.

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Selwyn Manning and I discussed the upcoming NATO Leader’s summit (to which NZ Prime Minister Ardern is invited), the rival BRICS Leader’s summit and what they could mean for the Ruso-Ukrainian Wa and beyond.

The PRC’s Two-Level Game.

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Coming on the heels of the recently signed Solomon Islands-PRC bilateral economic and security agreement, the whirlwind tour of the Southwestern Pacific undertaken by PRC Foreign Minister Wang Yi has generated much concern in Canberra, Washington DC and Wellington as well as in other Western capitals. Wang and the PRC delegation came to the Southwestern Pacific bearing gifts in the form of offers of developmental assistance and aid, capacity building (including cyber infrastructure), trade opportunities, economic resource management, scholarships and security assistance, something that, as in the case of the Solomons-PRC bilateral agreement, caught the “traditional” Western patrons by surprise. With multiple stops in Kiribati, Fiji, Samoa, Tonga, PNG, Vanuatu and East Timor and video conferencing with other island states, Wang’s visit represents a bold outreach to the Pacific Island Forum community.

A couple of days ago I did a TV interview about the trip and its implications. Although I posted a link to the interview, I thought that I would flesh out was what unsaid in the interview both in terms of broader context as well as some of the specific issues canvassed during the junket. First, in order to understand the backdrop to recent developments, we must address some key concepts. Be forewarned: this is long.

China on the Rise and Transitional Conflict.

For the last three decades the PRC has been a nation on the ascent. Great in size, it is now a Great Power with global ambitions. It has the second largest economy in the world and the largest active duty military, including the largest navy in terms of ships afloat. It has a sophisticated space program and is a high tech world leader. It is the epicenter of consumer non-durable production and one of the largest consumers of raw materials and primary goods in the world. Its GDP growth during that time period has been phenomenal and even after the Covid-induced contraction, it has averaged well over 7 percent yearly growth in the decade since 2011.

The list of measures of its rise are many so will not be elaborated upon here. The hard fact is that the PRC is a Great Power and as such is behaving on the world stage in self-conscious recognition of that fact. In parallel, the US is a former superpower that has now descended to Great Power status. It is divided domestically and diminished when it comes to its influence abroad. Some analysts inside and outside both countries believe that the PRC will eventually supplant the US as the world’s superpower or hegemon. Whether that proves true or not, the period of transition between one international status quo (unipolar, bipolar or multipolar) is characterised by competition and often conflict between ascendent and descendent Great Powers as the contours of the new world order are thrashed out. In fact, conflict is the systems regulator during times of transition. Conflict may be diplomatic, economic or military, including war. As noted in previous posts, wars during moments of international transition are often started by descendent powers clinging or attempting a return to the former status quo. Most recently, Russia fits the pattern of a Great Power in decline starting a war to regain its former glory and, most importantly, stave off its eclipse. We shall see how that turns out.

Spheres of Influence.

More immediate to our concerns, the contest between ascendent and descendent Great Powers is seen in the evolution of their spheres of influence. Spheres of influence are territorially demarcated areas in which a State has dominant political, economic, diplomatic and military sway. That does not mean that the areas in question are as subservient as colonies (although they may include former colonies) or that this influence is not contested by local or external actors. It simply means at any given moment some States—most often Great Powers—have distinct and recognized geopolitical spheres of influence in which they have primacy of interest and operate as the dominant regional actor.

In many instances spheres of influence are the object of conquest by an ascendent power over a descendent power. Historic US dominance of the Western Hemisphere (and the Philippines) came at the direct expense of a Spanish Empire in decline. The rise of the British Empire came at the expense of the French and Portuguese Empires, and was seen in its appropriation of spheres of influence that used to be those of its diminished competitors. The British and Dutch spheres of influence in East Asia and Southeast Asia were supplanted by the Japanese by force, who in turn was forced in defeat to relinquish regional dominance to the US. Now the PRC has made its entrance into the West Pacific region as a direct peer competitor to the US.

Peripheral, Shatter and Contested Zones.

Not all spheres of influence have equal value, depending on the perspective of individual States. In geopolitical terms the world is divided into peripheral zones, shatter zones and zones of contestation. Peripheral zones are areas of the world where Great Power interests are either not in play or are not contested. Examples would be the South Pacific for most of its modern history, North Africa before the discovery of oil, the Andean region before mineral and nitrate extraction became feasible or Sub-Saharan Africa until recently. In the modern era spheres of influence involving peripheral zones tend to involve colonial legacies without signifiant economic value.

Shatter zones are those areas where Great Power interests meet head to head, and where spheres of influence clash. They involve territory that has high economic, cultural or military value. Central Europe is the classic shatter zone because it has always been an arena for Great Power conflict. The Middle East has emerged as a potential shatter zone, as has East Asia. The basic idea is that these areas are zones in which the threat of direct Great Power conflict (rather than via proxies or surrogates) is real and imminent, if not ongoing. Given the threat of escalation into nuclear war, conflict in shatter zones has the potential to become global in nature. That is a main reason why the Ruso-Ukrainian War has many military strategists worried, because the war is not just about Russia and Ukraine or NATO versus Russian spheres of influence.

In between peripheral and shatter zones lie zones of contestation. Contested zones are areas in which States vie for supremacy in terms of wielding influence, but short of direct conflict. They are often former peripheral zones that, because of the discovery of material riches or technological advancements that enhance their geopolitical value, become objects of dispute between previously disinterested parties. Contested zones can eventually become part of a Great Power’s sphere of influence but they can also become shatter zones when Great Power interests are multiple and mutually disputed to the point of war.

Strategic Balancing.

The interplay of States in and between their spheres of influence or as subjects of Great Power influence-mongering is at the core of what is known as strategic balancing. Strategic balancing is not just about relative military power and its distribution, but involves the full measure of a State’s capabilities, including hard, soft, smart and sharp powers, as it is brought to bear on its international relations. 

That is the crux of what is playing out in the South Pacific today. The South Pacific is a former peripheral zone that has long been within Western spheres of influence, be they French, Dutch, British and German in the past and French, US and (as allies and junior partners) Australia and New Zealand today. Japan tried to wrest the West Pacific from Western grasp and ultimately failed. Now the PRC is making its move to do the same, replacing the Western-oriented sphere of influence status quo with a PRC-centric alternative.

The reason for the move is that the Western Pacific, and particularly the Southwestern Pacific has become a contested zone given technological advances and increased geopolitical competition for primary good resource extraction in previously unexploited territories. With small populations dispersed throughout an area ten times the size of the continental US covering major sea lines of communication, trade and exchange and with valuable fisheries and deep water mineral extraction possibilities increasingly accessible, the territory covered by the Pacific Island Forum countries has become a valuable prize for the PRC in its pursuit of regional supremacy. But in order to achieve this objective it must first displace the West as the major extra-regional patron of the Pacific Island community. That is a matter of strategic balancing as a prelude to achieving strategic supremacy.

Three Island Chains and Two Level Games.

The core of the PRC strategy rests in a geopolitical conceptualization known as the “three island chains” This is a power projection perspective based on the PRC eventually gaining control of three imaginary chains of islands off of its East Coast. The first island chain, often referred to those included in the PRC’s “Nine Dash Line” mapping of the region, is bounded by Japan, Northwestern Philippines, Northern Borneo, Malaysia and Vietnam and includes all the waters within it. These are considered to be the PRC’s “inner sea” and its last line of maritime defense. This is a territory that the PRC is now claiming with its island-building projects in the South China Sea and increasingly assertive maritime presence in the East China Sea and the straits connecting them south of Taiwan.

The second island chain extends from Japan to west of Guam and north of New Guinea and Sulawesi in Indonesia, including all of the Philippines, Malaysian and Indonesian Borneo and the island of Palau. The third island chain, more aspirational than achievable at the moment, extends from the Aleutian Islands through Hawaii to New Zealand. It includes all of the Southwestern Pacific island states. It is this territory that is being geopolitically prepared by the PRC as a future sphere of influence, and which turns it into a contested zone.

(Source: Yoel Sano, Fitch Solutions)

The PRC approach to the Southwestern Pacific can be seen as a Two Level game. On one level the PRC is attempting to negotiate bilateral economic and security agreements with individual island States that include developmental aid and support, scholarship and cultural exchange programs, resource management and security assistance, including cyber security, police training and emergency security reinforcement in the event of unrest as well as “rest and re-supply” and ”show the flag” port visits by PLAN vessels. The Solomon Island has signed such a deal, and Foreign Minister Wang has made similar proposals to the Samoan and Tongan governments (the PRC already has this type of agreement in place with Fiji). The PRC has signed a number of specific agreements with Kiribati that lay the groundwork for a more comprehensive pact of this type in the future. With visits to Vanuatu, Papua New Guinea and East Timor still to come, the approach has been replicated at every stop on Minister Wang’s itinerary. Each proposal is tailored to individual island State needs and idiosyncrasies, but the general blueprint is oriented towards tying development, trade and security into one comprehensive package.

None of this comes as a surprise. For over two decades the PRC has been using its soft power to cultivate friends and influence policy in Pacific Island states. Whether it is called checkbook or debt diplomacy (depending on whether developmental aid and assistance is gifted or purchased), the PRC has had considerable success in swaying island elite views on issues of foreign policy and international affairs. This has helped prepare the political and diplomatic terrain in Pacific Island capitals for the overtures that have been made most recently. That is the thrust of level one of this strategic game.

That opens the second level play. With a number of bilateral economic and security agreements serving as pillars or pilings, the PRC intends to propose a multinational regional agreement modeled on them. The first attempt at this failed a few days ago, when Pacific Island Forum leaders rejected it. They objected to a lack of detailed attention to specific concerns like climate change mitigation but did not exclude the possibility of a region-wide compact sometime in the future. That is exactly what the PRC wanted, because now that it has the feedback to its initial, purposefully vague offer, it can re-draft a regional pact tailored to the specific shared concerns that animate Pacific Island Forum discussions. Even if its rebuffed on second, third or fourth attempts, the PRC is clearly employing a “rinse, revise and repeat” approach to the second level aspect of the strategic game.

An analogy the captures the PRC approach is that of an off-shore oil rig. The bilateral agreements serve as the pilings or legs of the rig, and once a critical mass of these have been constructed, then an overarching regional platform can be erected on top of them, cementing the component parts into a comprehensive whole. In other words, a sphere of influence.

Vietnamese Oil Rig in a contested zone.

Western Reaction: Knee-Jerk or Nuanced?

The reaction amongst the traditional patrons has been expectedly negative. Washington and Canberra sent off high level emissaries to Honiara once the Solomon Islands-PRC deal was leaked before signature, in a futile attempt to derail it. The newly elected Australian Labor government has sent its foreign minister, sworn into office under urgency, twice to the Pacific in two weeks (Fiji, Tonga and Samoa) in the wake of Minister Wang’s visits. The US is considering a State visit for Fijian Prime Minister (and former dictator) Frank Baimimarama. The New Zealand government has warned that a PRC military presence in the region could be seriously destabilising and signed on to a joint US-NZ statement at the end of Prime Minister Ardern’s trade and diplomatic junket to the US re-emphasising (and deepening) the two countries’ security ties in the Pacific pursuant to the Wellington and Washington Agreements of a decade ago. 

The problem with these approaches is two-fold, one general and one specific. If countries like New Zealand and its partners proclaim their respect for national sovereignty and independence, then why are they so perturbed when a country like the Solomon Islands signs agreements with non-traditional patrons like the PRC? Besides the US history of intervening in other countries militarily and otherwise, and some darker history along those lines involving Australian and New Zealand actions in the South Pacific, when does championing of sovereignty and independence in foreign affairs become more than lip service? Since the PRC has no history of imperialist adventurism in the South Pacific and worked hard to cultivate friends in the region with exceptional displays of material largesse, is it not a bit neo-colonial paternalistic of Australia, NZ and the US to warn Pacific Island states against engagement with it? Can Pacific Island states not find out themselves what is in store for them should they decide to play the Two Level Game?

More specifically, NZ, Australia and the US have different security perspectives regarding the South Pacific. The US has a traditional security focus that emphasises great power competition over spheres of influence, including the Western Pacific Rim. It has openly said that the PRC is a threat to the liberal, rules-based international order (again, the irony abounds) and a growing military threat to the region (or at least US military supremacy in it). As a US mini-me or Deputy Sheriff in the Southern Hemisphere, Australia shares the US’s traditional security perspective and emphasis when it comes to threat assessments, so its strategic outlook dove-tails nicely with its larger 5 Eyes partner.

New Zealand, however, has a non-traditional security perspective on the Pacific that emphasises the threats posed by climate change, environmental degradation, resource depletion, poor governance, criminal enterprise, poverty and involuntary migration. As a small island state, NZ sees itself in a solidarity position with and as a champion of its Pacific Island neighbours when it comes to representing their views in international fora. Yet it is now being pulled by its Anglophone partners into a more traditional security perspective when it comes to the PRC in the Pacific, something that in turn will likely impact on its relations with the Pacific Island community, to say nothing of its delicate relationship with the PRC.

In any event, the Southwestern Pacific is a microcosmic reflection of an international system in transition. The issue is whether the inevitable conflicts that arise as rising and falling Great Powers jockey for position and regional spheres of influence will be resolved via coercive or peaceful means, and how one or the other means of resolution will impact on their allies, partners and strategic objects of attention such as the Pacific Island community.

In the words of the late Donald Rumsfeld, those are the unknown unknowns.

Media Link: China in the Pacific.

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I got up early to do a TV interview about the recent (and ongoing) trip by the PRC foreign minister around the SW Pacific looking to sign bilateral and multilateral agreements. I never got to discuss the concept of “sphere of influence” as it applies to the power play, nor the fact that the territorial size and resource exploitation potential of any potential PRC-Pacific Island community multilateral economic and security agreement would mark a major shift in the Pacific strategic balance of power. But I did get to try and put the recent moves in broader context, which is unusual for a TV talking head. You can see the interview here.

Media Link: ” A View from Afar” podcast on post-conflict regional security architecture.

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In this week’s “A View from Afar” podcast Selwyn Manning and I speculate on how the Ruso-Ukrainian War will shape future regional security dynamics. We start with NATO and work our way East to the Northern Pacific. It is not comprehensive but we outline some potential ramifications with regard to Western, Russian and even Chinese responses to the war. Bottom line is that no matter what the outcome, Russia comes out of the war diminished on the diplomatic, economic and military fronts, which in turn changes the regional security landscape moving forward. The episode is here.

Media Link: “A View from Afar” podcast returns.

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After a brief hiatus, the “A View from Afar” podcast is back on air with Selwyn Manning leading the Q&A with me. This week is a grab bag of topics: Russian V-Day celebrations, Asian and European elections, and the impact of the PRC-Solomon Islands on the regional strategic balance. Plus a bunch more. Check it out.

Approaching storm over the horizon.

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The Solomon Islands and PRC have signed a bilateral security pact. The news of the pact was leaked a month ago and in the last week the governments of both countries have confirmed the deal. However, few details have been released. What we do know is that Chinese police trainers are already working with the Solomons Island police on tactics like crowd control, firearms use, close protection and other operating procedures that have been provided by the Australian and New Zealand police since the end of the RAMSI peace-keeping mission in 2017. More Chinese cops are to come, likely to replace the last remnants of the OZ and NZ police contingents. What is novel is that the agreement allows the PRC to deploy security forces in order to protect Chinese investments and diaspora communities in the event of public unrest. That is understandable because the PRC is the biggest investor in the Solomon Islands (mostly in forestry) and Chinese expats and their properties and businesses have regularly been on the receiving end of mob violence when social and political tensions explode.

Allowing Chinese security forces to protect Chinese economic interests and ex-pats on foreign soil has brought a new twist to the usual security diplomacy boilerplate, one that could be emulated in other Pacific Island states with large Chinese populations. Given the large amounts of PRC economic assistance to Pacific Island states before and during the Belt and Road initiative, which has often been referred to as “dollar,” then “debt” diplomacy because it involves Chinese financing and/or the gifting of large developmental projects to island states in which imported Chinese labor is used and where it is suspected that PRC money was passed to local officials in order to grease the way for contracts to be let, the possibility of this new type of security agreement is now firmly on the diplomatic table.

Also very worth noting is that the SI-PRC agreement gives the Chinese Navy (PLAN) berthing and logistical support rights during port visits, with the Chinese ugrading the port of Honiara in order to accommodate the deep draft grey hulls that it will be sending that way. This has raised fears in Western security circles that the current deal is a precursor to a forward basing agreement like the one the PRC has with Djibouti, with PLA troops and PLAN vessels permanently stationed on a rotating basis on Solomon Islands soil. Given that the Solomon Islands sit astride important sea lanes connecting Australia (and New Zealand) with the Northwestern Pacific Rim as well as waters further East, this is seen as a move that will upset the strategic balance in the Southwest Pacific to the detriment of the Western-dominant status quo that currently exists.

The fear extends to concerns about the PRC inking similar agreements with Fiji (with whom its already has a port visit agreement), Samoa and Tonga. The PRC has invested heavily in all three countries and maintains signals collection facilities at its embassies in Suva and Nuku’alofa. A forward basing agreement with any of them would allow the PLAN to straddle the sea lanes between the Coral Sea and larger Pacific, effectively creating a maritime chokepoint for commercial and naval shipping.

Needless to say, the reaction in Australia, NZ and the US has been predictably negative and sometimes borderline hysterical. For example, recent reports out of Australia claim that Chinese troops could be on the ground in the Solomons within a month. If true and if some Australian/NZ commentators are correct in their assessments, the only implicit options left to reverse the PRC-Solomons security agreement in the diminishing time window before the PRC establishes a firm foothold in Honiara is either by fomenting a coup or by direct military intervention. Opposition (and pro-Taiwan) Malaitan militias might be recruited for either venture (the Solomons switched diplomatic recognition from Taiwan to the PRC in 2019, something that was widely opposed on the island of Malaita). However, PM Sogavare already has PRC police in country and can invoke the new deal to get rapid response PRC units on the ground to quash an uprising or resist foreign military intervention. So the scene is set for a return to the nation-wide violence of two decades ago, but in which contending foreign intervention forces are joined to inter-tribal violence.

The agreement is also a test of NZ and OZ commitments to the principles of national sovereignty and self-determination. Left-leaning pundits see the deal as benign and Western concerns as patronizing, racist and evidence of a post-colonial mentality. Right-leaning mouthpieces see it as the first PRC toe- hold on its way to regional strategic domination (hence the need for pre-emptive action). Both the New Zealand and Australian governments have expressed concerns about the pact but stopped short of threatening coercive diplomacy to get Sogavare to reverse course and rescind the deal. Australia has sent its Minister for Pacific affairs to Honiara to express its concern and the US has sent a fairly high (Assistant Secretary) level delegation to reaffirm its commitment to regional peace and stability. NZ has refrained from sending a crisis diplomatic delegation to Honiara, perhaps because the Prime Minister is on an Asian junket in which the positives of newly signed made and cultural exchanges are being touted and negative developments are being downplayed. But having been involved with such contingency-planning matters in my past, intelligence and military agencies are well into gaming any number of short to medium term scenarios including those involving force, and their contingency planning scenarios may not be driven by respect for norms and principles involving Solomon Islands sovereignty, self-determination and foreign policy independence.

Conspicuous by their absence have been the Pacific Islands Forum (PIF) and the Melanesian Spearhead Group (MSG). The former is the regional diplomatic grouping founded in 1971 and Headquartered in Suva, Fiji. It is comparable to the Organization of American States (OAS), Organization of African Unity (OAU) or Southeast Asian Treaty Organization (SEATO). It has several security clauses in its charter, including that 2000 Biketawa Declaration that sets the framework for regional crisis management and conflict resolution and which was invoked to authorise the Regional Assistance Mission for the Solomon Islands (RAMSI) from 2003-2017.

The latter was formally incorporated in 1988 (Fiji was admitted in 1996) as a Melanesian anti-colonial solidarity organization and trade and cultural facilitator involving PNG, Vanuatu, the Solomon Islands and the Kanak National Liberation Front (FLINKS) in New Caledonia. It subsequently admitted observer missions from Indonesia (now Associate Member), Timor Leste and the United Liberation Movement of West Papua.

Currently headquartered in Port Villa, Vanuatu, under Fiji’s leadership in the late 2000s it attempted to re-position itself as a regional security intervention body for Melanesia, (prompted by the unrest in the Solomons and Papua New Guinea in the early 2000s). That initiative never prospered and the MSG remains as more of a symbolic grouping than one with serious diplomatic weight in spite of the signing of an MSG regional trade agreement in 1996 (revised in 2005) and Fijian Prime Minister Bainimarama’s attempts to make it a vehicle for loftier ambitions.

Neither agency has weighed in at any significant length on the agreement or the response from the traditional Western patrons. That may have something to do with the PRC’s dollar diplomacy shifting regional perspectives on diplomacy and security, or perhaps has to do with long-standing unhappiness with the approaches of “traditional” Western patrons when it comes to broader issues of development and trade (since the PC-SI security deal also includes clauses about “humanitarian” and developmental assistance). The MSG silence is significant because it has the potential to serve as a regional peace-keeping force deployed mainly to deal with ethnic and tribal unrest in member states as well as inter-state conflict, thereby precluding the need for non-Melanesian powers to get involved in domestic or regional security matters. Either way, the absence of the Solomon Island’s closets neighbours in a glaring omission from diplomatic discussions about how to respond to the agreement.

That is a good reason for the PIF and MSG to be engaged in resolving the inevitable disputes that will arise amid the fallout from the PRC-SI security agreement. It could involve setting boundaries for foreign military operations (such as limiting foreign military presences to anti-poaching, anti-smuggling or anti-piracy missions) or limits to foreign military basing and fleet numbers. It could involve negotiating MSG control over domestic public order measures and operations in the event of internal unrest, including those involving the PRC and Western traditional patrons. The main point is that regional organizations take the lead in administering regional security affairs covering the nature and limits of bilateral relations between member states and extra-regional powers (including traditional patrons as well as newer aspirants).

Whatever happens, it might be best to wait until the agreement details are released (and it remains to be seen if they will be) and save the sabre rattling for then should the worst (Western) fears are realized. That sabre rattling scenario includes a refusal to release the full details of the pact or dishonesty in presenting its clauses (especially given PRC track record of misrepresentations regarding its ambitions in the South China Sea and the nature of the island-building projects on reefs claimed by other littoral states bordering it). Of course, if the agreement details are withheld or misrepresented or the PRC makes a pre-emptive move of forces anticipating the OZ/NZ coercive response, then all bets are off as to how things will resolve. The window of diplomatic opportunity to strike an equitable resolution to the issue is therefore short and the possibility of negative consequences in the event that it is not loom large over the Pacific community and beyond.

In other words, it is time for some hard-nosed geopolitical realist cards to be placed on the diplomatic table involving interlocutors big and small, regional and extra-regional, without post-colonial patronizing, anti-imperialist “whataboutism” or yellow fever-style fear-mongering. Because a new strategic balance is clearly in the making, and the only question remaining is whether it will be drafted by lead or on paper.