Insights from FCGF 2025 Opening Plenary: The World in Flux – Challenges and Opportunities

FutureChina Global Forum 2025

The World in Flux – Challenges and Opportunities

Opening Plenary: The World in Flux – Challenges and Opportunities

 

Executive Summary

The panel concluded that the current global environment represents a fundamental structural change, not a temporary phase. Amidst this, regional supply chains are becoming more resilient as Chinese investment in ASEAN undergoes a strategic upgrade. The panel identified ASEAN as a key beneficiary of resulting trade and investment diversions. Consequently, the primary advice for business leaders is to adapt by embedding geopolitical acumen into the C-suite and fostering deep collaboration. The discussion also noted that while the de-dollarisation narrative is growing, a rapid shift away from the dollar’s central role is not imminent.

Key Themes and Insights

  1. The Nature of the New Multipolar World

The panel agreed the world is in flux, moving away from a US-dominated order, but differed on its characterisation. Director of Brookings Institution, Ryan Hass described a transition towards a more “disordered, more chaotic world” marked by the “selfish pursuit of national interest,” with the US shifting burdens and creating a vacuum in global governance. Founder and Executive Chairman of Banyan Group, Ho Kwon Ping argued against a simple “multipolar” lens, positing a more profound “fundamental civilisational reset.” This involves a deep crisis within Western civilisation juxtaposed with the comprehensive rise of East Asian civilisation. China’s Special Envoy for Climate Change Former UN Under-Secretary-General, Vice-Minister for Foreign Affairs of China, Liu Zhenmin provided a historical view, noting the UN-based system is evolving into a multipolar one where the interrelationship between the US, China, Russia, and the EU will determine the world’s future.

  1. The Role and Challenges for Southeast Asia

Panelists highlighted ASEAN’s unique position and structural challenges. Founder & Chairman of Ancora Group, Gita Wirjawan described China and the US as “indispensable frenemies” for the next 50-100 years, creating crucial countervailing forces that can provide stability for the region. However, he also pointed to a critical internal challenge: a widening educational and economic divergence within Southeast Asia. He argued that for ASEAN to thrive, it must become more cohesive and collective to address this internal disparity.

  1. US-China Relations and the Trade Deal

A US-China trade deal was predicted as likely, but primarily for political expediency. Ryan Hass cautioned that while a deal would bring relief, it would not resolve fundamental challenges, as both nations are hardening their positions and pursuing self-reliance. For ASEAN, the primary benefit would be preventing the region from being flooded by China’s excess industrial capacity. President of Shanghai University of Finance and Economics, Professor Liu Yuanchun predicted a deal is inevitable, with a three-tiered outcome: cooperation in general trade, managed confrontation in high-tech sectors, and strategic ambiguity on other issues.

  1. De-Dollarisation and the Financial System

The discussion addressed the fracturing of the global financial system. Director of East Asian Institute, Alfred Schipke foresaw a fragmentation of “financial plumbing” into non-interoperable payment systems (e.g., Europe’s e-Euro, China’s e-CNY). Ho Kwon Ping clarified the trend is not pure “de-dollarisation” but a diversification away from the dollar. He identified the primary driver as the “weaponisation” of the SWIFT payment system, which alarmed nations and accelerated the search for alternative, less politicised systems.

  1. Climate Change: From Mitigation to Adaptation

The panel offered a sober assessment of the global approach to climate change. From a business perspective, Ho Kwon Ping delivered a stark message: the private sector is rapidly losing faith in multilateral talks and government-led mitigation. Recognising climate change as inevitable, businesses are now focusing their resources on climate adaptation—protecting their own assets and operations from its unavoidable consequences.