The Pacific Rim region is a dynamic geoeconomic space of great power competition where many trade agreements and economic blocs have evolved over the last few decades. This article evaluates the insertion of the four economies of the United States, China, India, and the European Union to understand the evolving architecture of trade relations in this Rim region.
Author
Nitin Arya, Jindal School of International Affairs, O.P. Jindal Global University, Sonipat, Haryana, India
Summary
The article examines how trade agreements shape the geoeconomic and geostrategic landscape of the Pacific Rim, focusing on the roles of the United States, China, India, and the European Union. It explains that trade agreements facilitate economic integration, strengthen regional value chains, attract investment, and create interdependence among economies, which can contribute to regional peace and security. However, they also serve as instruments of geopolitical influence, allowing major powers to establish economic presence, shape trade rules, and advance their strategic interests.
The article highlights China’s growing influence through the Regional Comprehensive Economic Partnership (RCEP) and the Belt and Road Initiative (BRI), which strengthen its economic integration with regional partners. In contrast, the United States’ approach is characterised by tensions between economic nationalism and multilateral trade engagement. India pursues a combination of bilateral partnerships and regional cooperation to strengthen its economic and strategic position, while the European Union uses trade agreements to promote economic interests, international standards, and strategic autonomy.
The article concludes that the Pacific Rim is an increasingly contested geoeconomic space in which trade agreements influence not only economic relationships but also global power dynamics. China’s institutionalised economic presence through RCEP creates new strategic challenges for other major powers, while the United States, India, and the European Union seek to protect their interests through bilateral partnerships, regional cooperation, and multilateral engagement. Ultimately, the evolving structure of trade agreements will play a significant role in shaping international trade, economic diplomacy, and geopolitical competition.
Published in: Economic and Political Weekly
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