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1. China’s role in the Sustainable Development Agenda: Considerations for Norway

Author:
Hans Jørgen Gåsemyr
Publication Date:
03-2020
Content Type:
Special Report
Institution:
Norwegian Institute of International Affairs
Abstract:
China’s role as an international development actor is growing, with real and increasing potential to impact Sustainable Development Goals (SDG). On some issues, Chinese initiatives align well with Norwegian interests, but China’s approach to development also diverges on some key practices and norms. While Chinese international efforts meet mixed reactions, Norway should stake out its own course for when and how to engage with China over SDGs.
Topic:
Development, International Organization, United Nations, and Sustainable Development Goals
Political Geography:
China, Europe, Norway, and Asia

2. China, India and the political economy of medical supplies

Author:
Stein Sundstol Eriksen
Publication Date:
04-2020
Content Type:
Special Report
Institution:
Norwegian Institute of International Affairs
Abstract:
Summary: • The pandemic and lockdowns threaten the supply of medicines, especially from India • Poor countries relying on supplies of cheap Indian medicines are especially vulnerable • New medicines and vaccines are likely to be developed and patented by Western companies and will be expensive. • Norway should help fund the supply of medicines and promote reforms of patent rules to make medicines more affordable
Topic:
Political Economy, Asia, Vaccine, Pandemic, and COVID-19
Political Geography:
China, South Asia, India, and Asia

3. The spiralling effects of the Sino-American trade war

Author:
Marc Lanteigne
Publication Date:
06-2020
Content Type:
Special Report
Institution:
Norwegian Institute of International Affairs
Abstract:
Almost two years ago, China and the United States instigated a trade conflict which has had serious international effects, a situation since exacerbated by the Covid-19 pandemic. What has truly made a solution to this conflict elusive, however, is that its origins lie well beyond questions of trade deficits and fair competition, and are instead based on the looming question of a power transition between to the two states. The effects of this divergence are beginning to be observed in several economic realms, including the financial and the technological. Many other actors in the global economy have begun to experience the side effects of this completion, and may now have to face difficult choices about how to balance between these two emerging poles in the current fragile global economy.
Topic:
Economic Growth, Conflict, Trade, and COVID-19
Political Geography:
China, Asia, North America, and United States of America

4. The Arctic Council and US domestic policymaking

Author:
Elana Wilson Rowe and Helge Blakkisrud
Publication Date:
03-2019
Content Type:
Policy Brief
Institution:
Norwegian Institute of International Affairs
Abstract:
One widely recognized achievement of the Arctic Council and its various working groups has been the production of collectively generated assessments on Arctic problems. Assessment reports such as the Arctic Climate Impact Assessment (ACIA) provide an important baseline of shared knowledge for making collective circumpolar policy recommendations. But how does the knowledge produced through Arctic Council working groups figure into the policymaking of the Arctic states? This is an important question for understanding Arctic politics and the relationship between national decisionmaking and international relations more generally. Much of what the Arctic Council produces is in the form of recommendations, declarations of intent, and commitments to "best practices" in areas of shared interest and activity. While in recent years the Council has produced three binding agreements covering specific functional areas—search and rescue (2011), oil pollution preparedness and response (2013),and science cooperation (2017)—much ongoing Arctic collaborative work falls outside of these areas. This policy brief explores how science/policy outputs of and discussions at the Arctic Council fit into the Arctic political discourse of the USA, with an emphasis on key actors within the executive branch: the White House, the Department of the Interior, and the Environmental Protection Agency.
Topic:
Climate Change, Diplomacy, Energy Policy, Domestic Policy, and Arctic Council
Political Geography:
Russia, Europe, Eurasia, Asia, North America, Arctic, and United States of America

5. China’s Export Success: Due to Unfair Practices or Fair Competition?

Author:
Rolf Langhammer
Publication Date:
10-2019
Content Type:
Policy Brief
Institution:
Norwegian Institute of International Affairs
Abstract:
Compared with previous ratings, China’s trade policy today is more positively acknowledged. Yet, China can still be criticised in particular because of its non-transparent subsidy policy, the privileged role of state-owned enterprises, the heavy hand of the state in general, the sluggish enforcement of intellectual property rights, and the prevalence of non-tariff barriers. Yet, it cannot be ignored that Chinese entrepreneurship mentality is highly developed outside state interference in world markets. Especially, in the digital economy, high motivation and a large pool of human skills act as drivers of innovations, so far mainly process innovations. The trade war with the US hurts China and is responded by China with asymmetrical retaliation. The more Chinese exports to the US in total are affected, the more costs will have to be borne by US consumers as options to shift to alternative suppliers become weaker. What President Trump would see as a “good” deal for the US is unclear. It can be thus presumed that the trade war will continue into 2020 and that it is in fact a tech war. The EU is affected as EU companies produce in China for the US market and in the US for the Chinese market. While it might gain from trade diversion effects in the short run, the negative effects on investment due to uncertainty weigh more heavily. The EU is tempted to negotiate a free trade agreement with China but rightly refuses to start negotiations before China is prepared to conclude an agreement on investment. The EU should not see China and the US on equidistance. Workable relations with the US are much more important. To conclude, China’s trade policy has improved relative to Western standards but still warrants further steps towards much less state influence. Yet, its global competiveness especially in the state-of-the-art digital economy is high and is owed to a strong entrepreneurial mentality.
Topic:
Economics, European Union, Asia, Exports, Trade, and Strategic Competition
Political Geography:
China, Europe, Asia, and United States of America

6. State-owned Enterprises and the Trade Wars

Author:
Przemysław Kowalski
Publication Date:
11-2019
Content Type:
Policy Brief
Institution:
Norwegian Institute of International Affairs
Abstract:
Do state-owned enterprises (SOEs) and state capitalism create unfair competition in international markets? Empirical evidence surveyed in this brief suggests that from the turn of the century, state-owned enterprises (SOEs) indeed started competing increasingly with private firms, trading across borders and establishing themselves abroad through foreign direct investment. Some SOEs benefited from government-granted advantages unavailable to their private peers. International legal disputes involving SOEs have multiplied, and discussions of new trade and investment policy initiatives aiming to discipline SOEs have emerged. However, opinions differ as to what are the best policy approaches. The OECD Guidelines on SOEs would go a long way towards maintaining an international level playing field, but these are not mandatory and therefore unevenly implemented. WTO law gives countries freedom in managing their SOEs and focuses instead on disciplining government actions which may distort competition in international markets, irrespective of their ownership status. Some recent preferential trading agreements (PTAs) have included new SOE-specific disciplines that may influence future policy developments. On-going concerns about the allegedly unfair trade practices in emerging market economies with large state sectors, most notably China, are likely to strengthen the pressure for a closer scrutiny of SOEs and a development of new national and international disciplines. Improved transparency and disclosure are likely to be a common denominator of these new initiatives.
Topic:
Economics, Globalization, and Trade
Political Geography:
Asia

7. Regional Trade Agreements in East Asia

Author:
Innwon Park
Publication Date:
03-2014
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
Both intra - and inter-regional trade agreements are proliferating in East Asia. Deepening regional interdependence through trade and investment, and the necessity for stability and revitalization of the regional economy since the East Asian financial crisis in the late 1990s led the East Asian countries to adopt discriminatory RTAs. Accordingly, East Asian commercial policy stance has shifted from unilateral to bilateral to mega-lateral liberalization. This report attempts to assess the East Asian countries' efforts to liberalize the regional market by cooperating with each other. We investigate (i) why RTAs have been proliferating in East Asia, (ii) what the main characteristics of East Asian RTAs are, (iii) whether the East Asian countries are natural trading partners for each other to enhance welfare gains from RTAs, and (iv) whither East Asian RTAs. From our analysis, we recommend following policy options. First, East Asian RTAs should follow an expansionary RTA path (for example, AFTA and five ASEAN+1 FTAs → RCEP and/or TPP → FTAAP). Second, as we consider the high dependence on external economies through global trade and investment, East Asia needs to cooperate with major external trading partners by forming cross-regional RTAs with the EU and US. Third, in order to enable East Asian economies to take the more desirable expansionary RTA path, harmonizing or simplifying ROO, the cumulation of value contents among the RTA members in East Asia, and enhancing trade facilitation should be a prerequisite considering the complicated web of RTAs, regional production networks, and the consolidation of the FTAAP.
Topic:
Economics, International Trade and Finance, and Regional Cooperation
Political Geography:
East Asia and Asia

8. World Trade 1970-2010: Globalisation, Regionalisation and Reallocation

Author:
Arne Melchior
Publication Date:
08-2012
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
Using data for more than 200 countries, split into nine regions, we study world trade in goods during 1970-2010. The largest changes are the declining relative importance of Western Europe, and the increasing role for Asia. The intra-regional trade of Asia grew particularly fast; from 4 to 16% of world trade. Due to growing intra-regional trade in Europe and Asia, world trade became more intra-regional until 1995. Manufacturing trade is more regionalised, whereas commodity trade is more globalised. After 1995, extra-regional trade flows grew faster so there was “globalisation” with trade travelling longer distances and a rising share for commodities. From 2000, smaller trade regions such as Africa and Latin America have increased their shares of world trade; reversing the trend over the 30 preceding years.
Topic:
Globalization, International Political Economy, International Trade and Finance, Markets, Regional Cooperation, and International Affairs
Political Geography:
Europe, Asia, and Western Europe

9. Globalisation, Domestic Market Integration, and the Regional Disparities of India

Author:
Arne Melchior
Publication Date:
10-2010
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
Using a world trade model with India subdivided into states, the paper examines how regional disparities are affected by domestic inter-state trade as well as international trade. According to the analysis, international liberalisation promotes decentralisation and convergence, not divergence, so trade is not to blame for India's growing regional disparities. High economic growth within India makes domestic markets more important and the geographical effect of this is opposite to that of globalisation. This may counterbalance the geographical impact of international liberalisation and explain why recent changes in geographical clustering in India are limited. The empirical results are consistent with this. They also indicate that Indian services expansion is largely driven by increases in domestic demand due to growth, and that domestic market integration is essential for India's manufacturing sector. We argue that for larger nations, the domestic inter-regional trade is important and India should have a trade policy that addresses domestic as well as international market integration.
Topic:
Development, Globalization, and International Trade and Finance
Political Geography:
South Asia, India, and Asia

10. Regional Trade Agreements vs. Multilateral Trading System: A Study of Chinese Interests and Policy Options

Author:
Chen Taifeng
Publication Date:
07-2009
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
The simultaneous emergence of rapidly developing RTAs and a strengthened and more encompassing MTS attracts worldwide attention. “Complementary Competition” is the very essence of the RTA/MTS relationship. Both compete complementarily in trade liberalization and economic integration initiatives. Since joining the WTO, China has pursued a “three-pronged” economic and trade development strategy of pushing forward regional trade cooperation and bilateral trade cooperation while enhancing multilateral trade and cooperation. After joining the WTO, China has basically developed a spatial landscape of “focusing on Asia-Pacific and reaching out globally” with regard to its participation in the RTA.By participating in RTAs, China can obtain the same benefits of market openness and trade and investment liberalization as other countries do. It is important for China not to act too hastily, but to push forward regional cooperation step by step from adjacent to remote regions and level by level, from easy to difficult regions. Asia is especially important to China, and Asian economic cooperation is the foundation of China's RTA policy.
Topic:
Economics, International Trade and Finance, and Markets
Political Geography:
China and Asia

11. Services Trade and IT-enabled Services: A Case Study of India

Author:
B.P. Vani and Meenakshi Rajeev
Publication Date:
05-2008
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
Services trade has assumed considerable significance for the Indian economy. The role of IT and IT-enabled services (ITES) is particularly worth mentioning in this context. The growth of this sector has not only helped to improve the current account balance of India, but also generated income and employment. This paper anlyses data on services trade provided by IMF for different countries across the globe and examines India's position in relation to other countries. In particular, the paper compares India's exports of IT and ITES (clubbed together in IMF classification under other business and computer services categories) vis-à-vis some of its competitors in this field as far as international trade is concerned. The paper then looks at the trade in IT-enabled outsourcing services from India and examines the strengths and weaknesses of India as an outsourcing location.
Topic:
Science and Technology
Political Geography:
India and Asia

12. The Mongol Connection: Russia's Asian Entry into European Politics

Author:
Iver B. Neumann
Publication Date:
07-2008
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
The end of the 15th Century saw what was beginning to be known as Europeans coming into first contact with the 'new world' to their West, and driving the Moor out of Europe to their South. In what contemporaneity thought of as 'the North', i.e. what we would now call the East, a less conspicuous but nonetheless highly consequential development took place. Beyond Poland, a new political entity was making itself felt in such a degree that diplomatic relations had to be sought with it. This was Muscovy, led by Ivan III. Russians shared an experience with Christians in the South Balkans and the South Iberians; they had fresh experience with being ruled by non-Christians, more specifically, by the Mongols who were based in their tent capital Saray at the Volga. I start with a presentation of Mongol and Rus' political organization at the time of the invasion in 1240, and discuss Rus' as a suzeraign system which was part of the Golden Horde empire (which was itself in the early decades part of the Mongol empire). I then ask how, once the Golden Horde fell apart and Muscovy emerged as a separate polity, Muscovy's Mongol connection coloured its entry into the European states system. My conclusion is that, since Muscovy itself chose to seek recognition among other things as successors to the Mongol Golden Horde and since it did so by dint of a number of practices that were taken directly from the Mongols, European powers were warranted in seeing Russia as a partly Asian polity. The argument is framed as a critique of the English School's proclivity for treating sequences such as these as cases of 'expansion of international society'. I attempt to demonstrate that such a perspective cannot account adequately for what should rather be treated as relations between cultures.
Topic:
History
Political Geography:
Russia, Europe, Asia, Poland, and South Iberia

13. Between Boy Scouts and Paramilitary Storm Troops: The Young Communist League of Nepal

Author:
Harald Olav Skar
Publication Date:
07-2008
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
A retired colleague at NUPI, who had been a prisoner of war during the Nazi occupation of Norway, once remarked: “The problem of youth movements has always been that they take on a life of their own, and are not easily controlled by the mother party.” On the other hand the mother party may use exactly this 'unruliness' to its favour when illegitimate targets are to be achieved. If the youth branch can be used to do political “dirty work”, while the mother party itself remains “clean” and lawful, then an additional strategic advantage may be gained. My colleague remembered the deeds of the Third Reich and the Nazi youth movement with apprehension, hoping that the new world would not see the likes of these.
Topic:
Political Violence, Civil Society, and Government
Political Geography:
Norway, Asia, and Nepal

14. From Alamogordo to Reliable Replacement Warheads

Author:
Leo A. Grünfeld and Francesca Sanna-Randaccio
Publication Date:
12-2007
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
The paper discusses three important legacies that the first nuclear age, that of the Cold War, left behind: (1) the recurrent attempts at threat inflation and the corresponding politics of fear; (2) enormous stocks of poorly protected weapons and fissile materials; and (3) a vision of a world free of nuclear weapons. It goes on to explain the characteristics of the second nuclear age, a notion that Paul Bracken introduced after the testing in South Asia in 1998. Finally, it discusses two basic conditions for the international non-proliferation regime to function effectively: leadership and compatibility with the distribution of power in the international system. The latter is primarily about the rise of Asia in international affairs.
Topic:
International Cooperation and Nuclear Weapons
Political Geography:
United States and Asia

15. Political Priorities and Economic Interests in Russian-Latvian Relations

Author:
Andris Spruds
Publication Date:
12-2001
Content Type:
Working Paper
Institution:
Norwegian Institute of International Affairs
Abstract:
The paper focuses on interaction of political and economic aspects in Russian-Latvian relations. During the most of the 1990´s, the relationship was dominated by the «conflict manifestation, » which could be witnessed during the protracted Russian troop withdrawal and mutually irreconcilable positioning over NATO expansion and status of Russian-speaking population. However, in the context of EU enlargement and «economisation» of Russian foreign policy, economic factors may play an increasingly important role in Russian-Latvian relations. It is possible to discover a complex web of links and economic interdependence between economic actors in both Russia and Latvia. This especially refers to transit as Latvian ports remain among the major routes of Russian exports, primarily oil, to Western Europe. Yet, certain interests of particular economic groups in Russia as well as economic and political priorities of Russian government generally, in the region and domestically will have influence, not necessarily favourable, on further development of this economic interdependence.
Topic:
NATO and Politics
Political Geography:
Russia, Europe, Asia, and Latvia