| Summary/Abstract |
The characterization of the United States as a liberal hegemon seeking to uphold free-market capitalism against the illiberal state capitalism of China and other emerging powers has become commonplace, along with the attendant notion that American economic openness has been exploited by the unfair trade practices of other states. Given their dominance in US political discourse and role in shaping contemporary policy—including fuelling Trump’s trade wars and aggressive unilateral trade actions against all of the United States’ major trading partners, his attacks on the World Trade Organization, and talk of a “new Cold War” between the United States and China—these claims merit far greater scrutiny. In this article, I challenge the stark dichotomy frequently drawn between American “free-market capitalism” and the “state capitalism” of its emerging challengers, arguing that this forms part of a strategic narrative deployed for political purposes, including legitimating the United States’ use of aggressive trade policy measures. An examination of the American hegemon’s actual trade and industrial policies complicates this characterization. Despite presenting itself as a promoter and defender of free trade, I show that the unifying logic of US trade policy has always been the promotion of American economic interests: the United States has engaged in considerable state intervention and trade protectionism, both to shield vulnerable industries and support others to achieve and maintain their global dominance.
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