In this Lowy Institute Analysis, Hugh Jorgensen and Dr Daniela Strube examine China’s approach to global economic governance. The paper argues that China will seek a greater role in governance processes, but will pursue a combination of approaches involving both existing Bretton Woods Institutions and new forums.
- China has a growing incentive to pursue global economic rules more favourable to the Chinese economy, while retaining those aspects of the international system that have facilitated China’s prosperity.
- China will not ‘place all its eggs in one basket’, and will likely pursue a combination of approaches that involve both the traditional Bretton Woods Institutions, and emergent actors like the BRICS forum.
- The G20 has the potential to help China expand its role in global economic governance while retaining the fundamental building blocks of the current architecture.