Read part 1 of this series here.

The Emergence of a Multipolar World Order

China’s rise is the perfect example of the U.S.’s waning economic influence. China has done business with the world, encroaching on U.S. trading partners. China is Europe’s largest trading partner and is widening trade with countries across Latin America.

This could deal a serious blow to NAFTA and other American trade deals with Latin America. Mexico is a huge provider of food to the United States; if China cuts into the U.S.’s Mexican and South American food imports it could seriously hasten inflation. And it’s not just the U.S. that is in trouble.

The share of the global GDP of G7 countries is decreasing, while the share of the global GDP of BRICS countries is increasing.

The West is also losing its control over global finance. The rising popularity of cryptocurrency and non-dollar oil trade is causing Washington to worry about the future place of the dollar as the world's reserve currency.

Today there are more sanctions imposed by the West than there ever have been in history, yet countries are finding new ways to circumvent them.

For example, SWIFT-style alternative interbank payment systems like CIPS and SPFS make it easy for Russia and China to continue doing business unimpeded. As a result, Gillian Tett of the Financial Times warned investors to “prepare for a multipolar currency world,” in which a basket of multiple currencies come to dominate global trade, dethroning the dollar as the de-facto global reserve currency.

A Global Financial Reset 

The BRICS, with the BRICS Bank and the NDB, have their own NDB alternative to the IMF and World Bank. At the 1944 Breton Woods Conference, the International Monetary Fund and the World Bank were created to refashion the global economy and reassert financial dominance after World War 2. Russia, China, and the Global South look to replace their reliance on such New World Order systems by ushering in a new "Fair World Order."

Countries are redistributing global trade towards Eurasia, restoring the historic trend of when Eurasia was at the heart of global trade.

China, together with BRICS and projects like the Belt and Road initiative, are building a parallel economic and trade infrastructure and a fairer alternative to the Western-dominated system.

These new alternatives make it more difficult for the West to enforce its interests through either military force or economic coercion.

Originally the USA reset the International Monetary Order after WW2. Now global conflicts, crypto, and alternatives to the Western-dominated ‘Rules-Based Order’ are set to replace and reset the New World Order, hastening the decline of Western economic hegemony.

They are effectively ushering in a Global Currency Reset, leveling the playing field for the Global South. This, along with the fact that multiple countries are set to join BRICS, presents new problems for the West.

The bloc is reaching a critical mass which the West simply cannot ignore.

Another big problem in regards to the U.S.'s waning global influence is the discourse surrounding its support for Israel's genocide of Palestinians in Gaza. The Global South views the West’s support for Israel while championing social justice as hypocritical.

Further proof showing the West has lost the Global South is are the UN resolutions calling for a ceasefire in Gaza, as it exemplifies the international community’s break with American hegemony. Malaysia, for example, recently sanctioned Israel’s ZIM shipping company in response to Israel’s genocide in Gaza. Countries are picking sides when in the past they would have remained neutral.

This course of action also puts pressure on the SWIFT-controlled global economic system. The end of the monopoly of SWIFT as the primary global economic system is known as the “Global Economic Reset” or “Great Currency reset.” The West no longer has a monopoly on the global financial system, with the creation of CIPS and SPFS the Global South can bypass sanctions in global trade.

National Sovereignty and Growing Hostility to Western Imperialism

National sovereignty is playing a significant role in the decisions of global south countries to kick NATO troops out. First, French Troops were forced to withdraw from Niger and now Iraq is demanding that American troops leave.

As a sign of hostility to NATO troops, Iraqi resistance fighters successfully attacked US military bases and pledged to defend Lebanon and Yemen. The Resistance Axis and their allies are challenging American occupation in such a way that would have been unthinkable just a few years ago.

This new Cold War is not just about competing spheres of influence but also about competing schools of globalism. As Irina Yarygina noted, “Actually, globalization has reached a new stage of its development associated with the formation of different alliances.”

Today there are different schools of globalism, the Western New World Order Globalism and Global South and Eurasian dominated Globalism. The Biden administration, realizing that Washington is losing its influence on the Global South to China and Russia, has cynically advocated that the African Union to join the G20 and receive a seat at the UN Security Council.

Another consequence of this emerging Cold War is the renewed threat of nuclear war. Russian President Vladimir Putin ordered the creation of the Moscow and Leningrad Military Districts, in response to Finland joining NATO. As Finland had previously announced its plans to host American troops on their border with Russia.

Lithuania is also hosting German troops on its border with Russia. On top of that, Russia is expanding its nuclear readiness by putting its Sarmat Missiles on combat alert and adding 2 TU 160m missile carriers to its Strategic Air Force, in response to the US pledging to provide Ukraine with F16s capable of carrying nuclear payloads.

It's concerning that many people seem unaware of the potential dangers we're facing. The US has either failed to ratify or withdrawn from every Cold War-era treaty, which leaves Russia with more freedom of action. The US continues to fear-monger about Russia, alleging it seeks to expand its Special Military Operation to Europe or deploy nuclear weapons in space.

This hysterical hyping of a Russian threat to secure more funding for Ukraine speaks volumes. And further escalation could threaten all of humanity. However, the rise of emerging markets and newfound sovereignty in the Global South represents a positive and important development for workers of the world.