Altering World Order: The Alter-Globalization Movement and the World Trade Organization

362 Pages·2007·2.09 MB·English

by  Bill Paterson

AAlltteerriinngg WWoorrlldd OOrrddeerr:: TThhee AAlltteerr--GGlloobbaalliizzaattiioonn MMoovveemmeenntt
aanndd tthhee WWoorrlldd TTrraaddee OOrrggaanniizzaattiioonn

UUnniivveerrssiittyy ooff SSttiirrlliinngg
DDeeppaarrttmmeenntt ooff PPoolliittiiccss
WWiilllliiaamm BB.. PPaatteerrssoonn
SSuubbmmiitttteedd ffoorr tthhee DDeeggrreeee ooff PPhhDD
DDeecceemmbbeerr 22000066
AAbbssttrraacctt

This thesis analyses the relationship between the World Trade Organization (WTO) and the
alter-globalization movement through the theoretical framework of Robert W. Cox. A Coxian
perspective highlights that the WTO is a central international organization of the current
nebuleuse, and one integral to enforcing, promoting and defending transnational corporate
hegemony. The emergence of the protest movement inaccurately labelled the ‘anti-
globalization movement’ can be described as a Coxian counter-hegemonic structure. From the
plethora of protesters making up this ‘anti-globalization movement’ who dispute the
legitimacy of the WTO, a distinct alter-globalization movement can be identified. It
prescribes the alternative principles of public accountability, the rights of people and the
protection of the environment as guides to reforming the WTO towards a Coxian ‘new
multilateralism’. This thesis asks: to what extent has this alter-globalisation movement
succeeded in altering the policies and processes of the WTO in accordance with these
principles? In Coxian terms the questions of how far the campaign for ‘new multilateralism’
has successfully altered the hegemony of the current world order and avoided trasformismo
are asserted.

After illustrating corporate structural power within the WTO’s policies and procedures, the
alter-globalisation movement is defined as an entity of overlapping social movements and
Non-Governmental Organizations (Alter-NGOs). The thesis identifies and evaluates three
strategies employed by the alter-globalisation movement to place its values at the heart of the
WTO: demonstrations on the street; assisting developing states during negotiations; and
submitting amicus briefs to the WTO’s Dispute Settlement Body (DSB). The obstacles
presented by the WTO’s policy of trasformismo are then detailed, namely: political elites
coopting the alter-globalization movement’s principles into their own rhetoric; the cooption of
NGOs by political elites from the developing world, and the cooption of NGOs and the fierce
rejection of any NGO influence within the WTO. In its conclusions the thesis details the
manner in which trasformismo is a significant tool in the armoury of corporate hegemony for
resisting reform, and thereby informs existing literature on the problems faced by all social
movements and NGOs engaging with reforming the world order.

i
DDeeddiiccaattiioonn

This thesis is dedicated to my wife Lesley and my son Calum.

Work like you don't need the money.
Love like you've never been hurt.
Dance like nobody's watching.
Sing like nobody's listening.
Live like it's Heaven on Earth.

Another world is possible.

ii
AAcckknnoowwlleeddggeemmeennttss

This thesis would never have been written if it had not been for my meeting with Professor
Barry Gills at the University of Newcastle in November 2003. In the year that Barry agreed to
be my external supervisor he was instrumental in making me believe in my academic ability.
Since then he has selflessly given his precious time and support, and I will always be
indebted. I must also thank Professor Graham Timmins for acting as a supervisor. Dr Peter
Lynch, at Stirling University, must be warmly thanked for his crucial role in the process of
addressing the corrections. A very big thank you to my external examiners, Dr Donna Lee and
Professor Jan Aart Scholte, for giving their valuable time and their patience during the
examination of this thesis.

Dr Laura Cleary has to be acknowledged for sparking my obsession with International
Relations as an undergraduate. The friendship, camaraderie, laughter, never-ending support
and encouragement from Dr Natalie Bormann will always be appreciated. Dr Scott Vietch’s
ability to smuggle me in to Glasgow University’s Law Faculty to participate with the
heavyweights: Stephen Gills, Boaventura de Sousa Santos, Claire Cutler, and Upendra Baxi,
to name a few, requires grateful acknowledgement. My dearest friends Innes and Linda are
thanked for helping to shape my political ideals, not least by calling me offensive names, such
as a ‘neoliberal’! Ian, Jock, Davy and Burkie all need to be thanked for being friends, and
having to listen to me constantly whining about how hard it is to write whilst paying for my
lunch. Obviously, none of this would have been possible without my mum and dad, but my
brothers and sister also need to be thanked for their support and love throughout this work.
My ‘in-laws’, Dan and Pat, have been both patient and supportive of a PhD they thought
would never end. Pat’s time away from bowling to proof read was greatly appreciated. And,
yes, I will get a job now. I take no responsibility for Kenny’s decision to write a PhD at Hull.
Florence Faucher advised me six years ago in a deep French accent: “Do not do a PhD unless
you are willing to invite madness into your life because a PhD is madness”. In my six years of
post-graduate studies I have yet to come across a more truthful statement of fact – be warned
Kenny! Finally, none of this would have been possible without my wife and soul mate Lesley,
and she ought to be formally thanked for putting up with being ignored, but still giving her
patience, support, love, and constant belief in me. I am truly blessed.
iii
TTaabbllee ooff CCoonntteennttss

Abstract p. i
Dedications p. ii
Acknowledgements p. iii
Table of Contents p. iv-vii
List of Abbreviations p. viii-x

Chapter One
Introduction p. 1-26
1.1 The Subject and Nature of the Problem p. 1
1.2 The Research Question p. 8
1.3 Methodology p. 8
1.4 Measuring the Success of the Alter-globalisation Movement p. 14
1.5 Contribution to Knowledge and Literature Review p. 18

Chapter Two
A Coxian Perspective on Change and Continuity in Multilateralism p. 27-79
2.1 Introduction and Aims p. 27
2.2 Robert W. Cox – A Conceptual Framework p. 29
2.3 Coxian Hegemony and Nebuleuse in the Current World Order p. 37
2.4 Criticisms of Cox p. 50
2.5 Mainstream Multilateralism and the ‘Dissident’ Coxian New Multilateralism p. 58
2.6 New Multilateralism and Complex Multilateralism within MEIs p. 67
2.7 Conclusion p. 77
iv
Chapter Three
The World Trade Organization in the Current Nebuleuse p. 80-126
3.1. Introduction and Aims p. 80
3.2 The WTO’s centrality in the Nebuleuse p. 82
3.3 The WTO’s DSB: The Teeth of the Nebuleuse p. 88
3.4 A Lack of Critical Analysis in the Creation of the WTO p. 100
3.5 Transnational Social Forces and Forms of States p. 104
3.6 The Transnational Historical Structure in the Creation of WTO Policies p. 114
3.7 Conclusion p. 125

Chapter Four
The Contradiction of the World Trade Organization p. 127-167
4.1 Introduction and Aims p. 127
4.2 WTO Ideology – The Rule of Law and 19th Century Liberalism p. 129
4.3 Sovereign Equality at the WTO p. 137
4.4 Non-Discrimination in the WTO Charter p. 143
4.5 Enforcement – Equality Before the Law p. 146
4.6 Uruguay Negotiations: The undermining of Sovereign Equality
and Non-Discrimination p. 149
4.7 Undermining Decision-Making at the WTO p. 155
4.8 Undermining Dispute Settlement at the WTO p. 163
4.9 Conclusion p. 165

v
Chapter Five
Alter-Globalization Movement: Hegemonic Distortion and Cooption p. 168-223
5.1 Introduction and Aims p. 168
5.2 Transnational Protest and the Counter-Hegemonic Forces p. 170
5.3 Social Movement Theory: Why Transnational Protest? p. 174
5.4 Counter-hegemony and the WTO p. 180
5.5 Counter-hegemony: Typology and Continuum p. 189
5.6 The Reaction of Corporate Hegemony: Distortion p. 202
5.7 Hegemonic Cooption p. 208
5.8 Conclusion p. 221

Chapter Six
‘Alter-NGO’: Legitimising or Altering the World Trade Organisation. p. 224-280
6.1 Introduction and Aims p. 224
6.2 Democratic Deficit: To NGO or not to NGOs that is the Question p. 227
6.3 Alter-NGOs: Advocacy, Cooption or Depoliticising p. 236
6.4 After Seattle: The Limits of Official NGO Engagement at the WTO p. 249
6.5 Unofficial Channels: Transnational Advocacy Networks p. 256
6.6 Influencing Dispute Settlement: NGOs and Amicus curiae briefs p. 264
6.7 Conclusions p. 279

Chapter Seven
Conclusion p. 281-307
7.1. A Brief Summary p. 281
7.2 Answering the Research Question p. 286
7.3 The Original Contribution of the Thesis p. 298
7.4 The Implications of the Thesis for Wider Knowledge p 299
vi
7.5 A Critical Reflection on the Limitations of the Thesis p. 302
7.6 A Specification of Questions and Directions for Future Research p. 305

Bibliography p. 308-351
Books and Articles p. 308
World Trade Organization Documents p. 332
Electronic Resources p. 337
Interviews p. 351
vii
LLiisstt ooff AAbbbbrreevviiaattiioonnss

AFL-CIO American Federation of Labour-Congress of Industrial Organization
Alter-NGO Alter-globalization Non-Governmental Organization
ART Alliance for Responsible Trade
ATTAC Association for the Taxation of Financial Transactions for the Aid of Citizens
BIAC Business and Industry Advisory Committee
CAP Common Agricultural Policy
CEO Chief Executive Officer
CIEL Centre for International Environmental Law
CONGOs Coopted Non-Governmental Organizations
CMC Centre for Marine Conservation
DG Director-General
DSB Dispute Settlement Body
DSU Dispute Settlement Understanding
EC European Community
EU European Union
FDI Foreign Direct Investment
G7 Group of Seven
G8 Group of Eight
G20 Group of Twenty
G90 Group of Ninety
GATS General Agreements on Trade in Services
GATT General Agreement on Tariffs and Trade
GDP Gross Domestic Product
ICPS International Centre for Policy Studies
viii
ICFTU International Conference of Free Trade Unions
ICTSD International Centre for Trade and Sustainable Development
IGOs Intergovernmental Organizations
ILO International Labour Organisation
IMF International Monetary Fund
IP Intellectual Property
IPR Intellectual Property Rights
IR International Relations
ITO International Trade Organization
INGO International Non-Governmental Organisation
LDCs Least Developed Countries
M&As Mergers and Acquisitions
MAI Multilateral Agreement on Investment
MFN Most-Favoured-Nation
NAFTA North American Free Trade Area
NGOs Non-Governmental Organizations
OECD Organization of Economic Cooperation and Development
PRSPs Poverty Reduction Strategy Papers
Quad Quadrilateral Group
R&D Research and Development
RMALC Mexican Action Network Confronting Free Trade
SACSNITI South Asian Civil Society Network of International Trade Issues
SAPRIN Structural Adjustment Participatory Review of International Network
TNCs Transnational Corporations
TPRB Trade Policy Review Body
TPRM Trade Policy Review Mechanism
TRIMS Trade Related Investment Measures
TRIPS Trade Related Property Rights
TSMOs Transnational Social Movement Organisations
ix