FIW Policy Brief No. 53: America is back

This paper explains the global trade challenges that have intensified in the wake of the Trump administration, exacerbating gridlock and clashes of interest on multilateral trade issues. With Joe Biden taking office, the relevance of a rules-based multilateral trade order and international cooperation have returned to the forefront. In particular, transatlantic cooperation on key issues as part of joint efforts regarding a "Renewed Transatlantic Partnership" could provide leverage to strengthen trade and investment activities and spur meaningful WTO reform. At the same time, Biden's "America is back" course illustrates the return of the USA to the international stage and underscores that US international priorities include multilateral cooperation beyond trade policy, such as global corporate tax reform, the removal of patent protection in the spirit of curbing the COVID-19 pandemic, and joint action on China and climate cooperation. This change of course by the USA opens up far-reaching opportunities for intensifying international cooperation, which in the long term can also lead to a reinvigoration of the global trade order.