The crisis of liberal multilateralism and the energy transition from the periphery: geopolitics, dependency and alternatives in a fractured global order

Abstract

This article examines the crisis of the liberal international order through the lens of political economy, focusing on two key dimensions: the contradictions of globalization—which has exacerbated inequalities and eroded labor rights—and the decline of traditional multilateralism, intensified by the geopolitical rivalry between the U.S. and China. Against this backdrop, the study explores how the energy transition has become a critical arena for global power struggles, with the Global South facing structural challenges such as technological dependence and financing gaps. While international institutions advocate market-driven solutions, the analysis argues that this transition is not a neutral technical shift but rather a process that reinforces existing asymmetries. For Latin America and other peripheral regions, the challenge lies in developing alternative strategies—whether through regional alliances or value-added industrial policies—to avoid new forms of dependency. Ultimately, the crisis does not signal the end of international cooperation but rather its reconfiguration under more contested and fragmented rules, positioning the energy transition as an uncertain yet pivotal opportunity to renegotiate the periphery’s role in the global economy.