Pursuing Geo-political Interests Through Investment Policies: Undesirable and (Un)feasible

The chapter begins by contextualizing the shift towards economic liberalism post-Cold War and the establishment of a rules-based international economic order. It then delves into the concept of geo-economics, defined as the use of economic instruments to achieve geopolitical ends. The author discusses how states increasingly employ trade and investment policies for geopolitical gains, citing examples such as China's enforcement of the one-China principle and the U.S.'s trade wars. The chapter also explores the legal implications of geo-economics, focusing on the public morals, public order, and security exceptions under the GATS. It concludes by arguing that while geo-economics may be an effective alternative to military conflict, it poses significant challenges to the liberal international economic order.