In the second year of Donald Trump’s second term, beginning with the kidnapping of Venezuelan President Nicolás Maduro on January 2, 2026, followed by the war of choice he has waged against Iran alongside Israeli Prime Minister Benjamin Netanyahu, the US president has continued his demolition of the 80-year-old global order set up by Washington in the aftermath of the Second World War.

That dying regime is a structure of rules, practices, and policies maintaining the hegemony of the United States and the rest of the capitalist West that was promoted with the rhetoric of freedom, free trade, and democracy. In remarkably candid words, the gap between the reality of this so-called multilateral order and the ideology that justified it was captured by the leader of a country, Canada, whose elite benefited from it. In his speech in Davos on January 20, 2026, Prime Minister Mark Carney admitted:

For decades, countries like Canada prospered under what we called the rules-based international order. We joined its institutions, we praised its principles, we benefited from its predictability. And because of that, we could pursue values-based foreign policies under its protection.We knew the story of the international rules-based order was partially false, that the strongest would exempt themselves when convenient, that trade rules were enforced asymmetrically. And we knew that international law applied with varying rigor depending on the identity of the accused or the victim.This fiction was useful, and American hegemony, in particular, helped provide public goods, open sea lanes, a stable financial system, collective security, and support for frameworks for resolving disputes.So, we placed the sign in the window. We participated in the rituals, and we largely avoided calling out the gaps between rhetoric and reality.

The order Carney describes is over, with the hegemon replacing its rules and practices, already unfair to the Global South as they were, with the unilateral exercise of coercion and force, with no rules at all except the rule that might makes right. Perhaps the essence of the new order is best captured by the words of US Defense Secretary Peter Hegseth during the US-Israeli bombing of Teheran: “This was never meant to be a fair fight, and it is not a fair fight. We are punching them while they’re down, which is exactly how it should be.”

In the first three months of 2026, Trump has already succeeded in dismantling the political fictions of the old regime, among them the central principle of the United Nations that expressly prohibits “the threat of the use of force against the territorial integrity or political independence of any state, or in any other manner inconsistent with the Purposes of the United Nations.” The kidnapping of Maduro and the assassination of Iran’s Supreme Leader Ali Khamenei were the hegemon’s announcement to the world that no country is exempt from outright, brazen intervention should Trump see it fit to do so, and there would not even be the fig leaf of constructing a “Coalition of the Willing” to prettify it, as George W. Bush did prior to his invasion of Iraq in 2003. Nor were foreign territories belonging to close allies, such as Greenland, immune from annexation should Trump decide it is in the US national interest to grab them.

Despite denunciations and votes against its aggressive initiatives at the General Assembly, through its veto power at the Security Council and its threat to withhold its financial contributions to the organization’s budget, the United States has neutered the UN.

Transforming the Multilateral Economic Regime

But before dismantling the political-military fiction of the old regime, Trump assaulted its economic fiction in 2025. More accurately, he resumed the transformation of the multilateral economic order that he began during his first presidency, from 2017 to 2021. During that earlier period, he continued the policy of his predecessor, Barack Obama, of blocking appointments and reappointments to the Appellate Court of the World Trade Organization (WTO), effectively paralyzing the body. But even more brazenly, he declared a unilateral trade war against China, undermining the system of rules and conventions of global trade that the United States led in institutionalizing in 1994, with the founding of the WTO.

In 2025, Trump expanded what he did not hesitate to call his “trade wars” to some 90 other countries. Among them were 50 African countries, some of whom received some of the highest, most punitive tariff increases in the world, like Lesotho (50%), Madagascar (47%), Mauritius (40%), Botswana (37%), and South Africa (30%). There was little rhyme or reason to the rates imposed, though in the case of South Africa, it was partly as punishment for bringing Israel to the International Court of Justice for committing genocide in Gaza.

Trump’s rhetoric is aggressive, brazen, and full of bluster, but let’s not be fooled. His is a defensive imperialism, a fighting retreat.

Foreign aid as an instrument of US policy was a pillar of the old international regime. As Thomas Sankara, one of Africa’s foremost fighters for liberation, pithily observed, “He who feeds you controls you.” To please his far-right base, which did not see foreign aid as important for the maintenance of US hegemony and viewed it as a waste of resources, Trump in one of his first acts—undertaken with Elon Musk, the world’s richest individual—abolished the Agency for International Development (USAID). This move drew divergent responses from progressives and liberals. For some, this was a tragedy since USAID programs were allegedly funding important public health and reproductive health projects in the Global South. For others, it was no loss at all since most of the funds for these initiatives went to pay the US contractors delivering or managing them.

Despite their crowing about doing away with foreign aid, Trump and Musk did not make any move to dismantle or reduce the flow of US funds to the International Monetary Fund, the World Bank, and regional development banks through which the bulk of US money for dominating the Global South via “development assistance“ or “structural adjustment” was funneled. Most likely, the rationale was to hold these so-called multilateral organizations in reserve for the aggressive exercise of American power via Washington’s controlling interest or veto power in these institutions should this become necessary in the future.

In the meantime, these institutions continue to maintain poverty-creating structural adjustment programs, especially in Africa, promote wrong-headed “export-led industrialization” efforts even as the United States imposes massive punitive tariffs on imports from the Global South, and block all efforts to solve the massive indebtedness of developing countries to the tune of over $11.4 trillion, which threatens a rerun of the Third World debt crisis of the early 1980s.

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