Orientation factor

China offers the stability of constancy to a world being roiled by a volatile transition

Canadian Prime Minister Mark Carney has argued that the old rules-based order is nearing its end. He called for a restructuring of global rules led by a coalition of middle powers that would cooperate with those larger powers that support a multilateral solution to counter the growing global instability in trade.

Carney recognized that the world is in a period of transition, moving away from one political framework defined by hegemony toward another characterized by multilateral solutions.

Historically, such transition periods have been lengthy and plagued by instability. Yet this transition period is different because a unifying factor supporting stability already exists.

China's support for multilateralism and the rules-based global trading order increasingly provides a foundation for greater global stability. Recognition of this has resulted in a period of handshakes and headlines in which the leaders of several Western countries have chosen to engage more closely with China, opening new trade opportunities and renewing relationships.

There are solid trade figures underpinning all of these meetings, but more importantly these visits represent a substantial change in strategic thinking. These Western countries are realigning their approach to China and acknowledging China's increasingly significant role in the process of economic globalization.

German Chancellor Friedrich Merz was the most recent European leader to visit China, seeking to reset relations with Beijing after several years of disruption. The chancellor's trip was the seventh to China by the leader of an ally of the United States since December. It is indicative of an accelerating recognition of China's vital role in the global economy.

These visits confirm the growing international support for multilateral solutions and the role China plays in achieving these objectives. It is evidence they are willing to integrate into the trend of an open world economy, rather than remaining stagnant and resisting progress.

Consistent with these changes, the possible further higher-level interactions between the US and China can also provide an opportunity to increase global cooperation through multilateral solutions.

Chinese Foreign Minister Wang Yi spoke at the Munich Security Conference and stressed that "we live in a multipolar world and need to practice true multilateralism".

In contrast to a drift toward turbulence, China continues to offer stability and predictability to the world in its approach to domestic and international trade. China proposed the Global Governance Initiative in 2025 to support sovereign equality and adherence to international law within the framework of the United Nations.

The transition from one period to another has often been marked by the collapse of a central authority, resulting in a power vacuum, which is historically often filled by smaller states, regional conflicts or cultural transformation. These transition periods have so far been characterized by instability, reduced economic integration and the decline of imperial or hegemonic infrastructure.

Unlike previous prolonged interregna, the current transition has the potential to be shorter. The trajectory of imperial-style collapse is accelerating with increased instability, but a stable alternative is already well established.

China provides a counterbalance of stability, reliability and consistency as well as a commitment to genuine multilateralism, encouraging countries to deepen cooperation for mutual development.

As highlighted in the outline of the 15th Five-Year Plan (2026-30), a new blueprint for China's continued economic and social development, the country welcomes the upgrading of multilateral trade solutions.

Although a little slow to reach this obvious conclusion, international business has found that it is increasingly difficult to thrive without access to the Chinese market and China's efficiencies of manufacturing scale and comprehensive supply lines. The forces of economic globalization are irreversible. Flights from Europe to Shanghai and Beijing are filled with business leaders wanting to explore how they can work with China.

Even after several years of trade frictions between the US and China, China is still one of the world's most efficient industrial ecosystems, and remains an indispensable choice, not because it is cost-effective, but because it is still faster to design, build, adjust and scale production in China.

In 2025, China's economy surpassed 140 trillion yuan ($20.4 trillion), with its massive market continuing to expand. China and Canada have made specific arrangements in areas such as electric vehicles and canola trade. China and Finland have signed cooperation agreements in trade and energy sectors. Prime Minister of the United Kingdom Keir Starmer acknowledged that China offers business opportunities, adding that ignoring China would be "unwise".

China has continued its support for multilateral solutions based on an open world economy and the promotion of cooperative development.

This commitment enables the effective management of the move away from hegemonic dominance, ensuring the transition will not be that long by facilitating a recognition of the power of multilateral solutions.

The author is an international financial technical analysis expert and a former national board member at the Australia China Business Council.

The author contributed this article to China Watch, a think tank powered by China Daily. The views do not necessarily reflect those of China Daily.

Contact the editor at editor@chinawatch.cn.