Columbia International Affairs Online: Working Papers

CIAO DATE: 11/2008

Omens and Threats in the Doha Round: The Decline of Multilaterialism?

Daniel Drache, Marc D. Froese

May 2008

Institute on Globalization and the Human Condition, McMaster University

Abstract

Faced with the lengthening shadow of the Doha Round of trade negotiations, scholars often point to the seven years it took negotiators to conclude the Uruguay Round. This paper argues that the negotiating deadlock in the Doha Round represents a transformative shift on the part of Member nations away from the current model of multi-platform, single-undertaking multilateralism and towards smaller negotiating platforms. We examine two dynamics that mark this round as qualitatively different from the Uruguay Round. First, new, highly vocal global trading powers such as India, China and Brazil have begun to use their market power to push for a trade deal that directly benefits the Global South. Second, the new rules for trade that were agreed to in the Uruguay Round had promised a reduction in non-tariff protectionism, but the continuing popularity of protectionist industrial policies has shown the developing world that greater access to northern markets might not be delivered at the World Trade Organization. The paper concludes with a discussion of trade multilateralism in historical context. This is not the first time the world has been faced with systemic changes in international economic relations. In the nineteenth and the early twentieth centuries, global trade broke down – first with the end of the British free trade system, and shortly thereafter with the catastrophic collapse of the interwar trading order. Nevertheless, this qualitative shift in the negotiating strategies of states need not be seen as a return to protectionism. The explosion of preferential regional agreements offers a number of new ways to address the social and political dimensions of economic integration.