Is the Rules-Based World Order Over? Europe at a Turning Point

HEC Paris
HEC ParisMar 26, 2026

Why It Matters

A coordinated EU can redefine trade, security, and sustainability standards, offering firms a more predictable operating environment amid global power shifts.

Key Takeaways

  • EU confronts collapse of post‑war rules‑based global order
  • Europe must speak with one voice, not 27 members
  • Diversifying trade deals like Mercosur, Australia, India signals new strategy
  • Decarbonisation viewed as tool for energy independence from China
  • Public expects EU to protect security, cut digital dependencies

Summary

The video argues that the post‑World‑War, rules‑based international order is disintegrating, leaving the European Union at a historic crossroads. With the United States retreating from multilateral leadership and China expanding its influence, the EU finds its foundational premise—peaceful, rule‑governed cooperation—under threat, prompting a search for a new strategic direction.

Key points include the EU’s urgent need to act as a single, cohesive voice rather than a fragmented bloc of 27 nations, and to diversify its trade relationships through long‑awaited agreements with Mercosur, Australia, and India. The speaker stresses that decarbonisation is not merely an environmental goal but a strategic lever to reduce reliance on Chinese renewable‑energy components and to regain energy sovereignty. Additionally, the EU must cut dependencies in digital infrastructure, cloud services, and armaments to safeguard security.

Notable remarks underscore the existential stakes: “We are an outlier, not playing by the new rules,” and “over 80% of Europeans now expect the Union to protect them.” These statements illustrate a growing public demand for decisive, collective action, and highlight the perception that the EU is the last bastion of a rules‑based order.

The implications are profound for businesses and policymakers: a unified EU could reshape global supply chains, drive investment in green technologies, and establish alternative standards that challenge U.S. and Chinese dominance. Failure to coordinate risks further fragmentation, higher costs, and diminished influence in shaping the emerging world order.

Original Description

Is the rules-based international order coming to an end?
In this episode, Alberto Alemanno, Professor of European Law at HEC Paris, breaks down a major shift in global dynamics: the erosion of the system that has structured international relations for decades.
As geopolitical tensions rise and power politics return, Europe faces a critical moment. Built on cooperation and rules, the EU must now navigate a world driven by uncertainty — while responding to growing expectations from its citizens to protect and act.
👉 What does this shift mean for Europe?
👉 Can the EU adapt and act as one?
👉 What role can it play in shaping what comes next?
A clear, expert perspective on a world in transition.
#Europe #Geopolitics #HECParis #GlobalOrder #Sovereignty

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