ABSTRACT
After World War II, the USA became the major architect and driving force of a global free-trade regime. Its foreign policy was initially directed towards building a bulwark against communist expansion through a system of free trade between capitalist states. During the Cold War and the subsequent post-communist age of globalization, the USA has remained committed to the notion that free trade is not only the key to prosperity but also to democracy and peace, dependent as this is on an orderly exchange of goods and services. The principles that have guided the US policy of liberalization have been those of equal treatment for all countries in respect of tariffs, the so-called “most favored nation” principle, and transparency in the rules governing the conduct of trade without regulation or subsidy. Its free-trade approach has helped to create prosperity among the more developed economies, although the gap between rich and poor countries has widened.
“We’re making sure America has a chance to compete on the same terms as people who sell into our market. And we’ll use the tools necessary to make sure the playing field is level”.
President George W. Bush 2004