Did you know that Truthout is a nonprofit and independently funded by readers like you? If you value what we do, please support our work with a donation.

In recent decades, imperialism has been somewhat out of fashion as a subject of analysis in academic circles. Yet in the past several months, President Donald Trump had reminded everyone that U.S. imperialism is indeed alive and kicking. In fact, imperialism never went away, as leading radical economist Costas Lapavitsas points out in the exclusive interview for Truthout that follows. Lapavitsas, a professor of economics at SOAS University of London, warns us that the world is now closer than ever to world war and nuclear confrontation. His recent article in the New Left Review, “A Topography of the New Dollar Imperialism,” outlines his recent research into the growing chaos of Trump-era U.S. imperialism and its potential catastrophic consequences for the world.

C. J. Polychroniou: Imperialism was a central concept in Marxist and radical thought throughout the 20th century, but to many, globalization seemed to have made it obsolete. Today it is making a dramatic comeback, not least because of Trump, whose territorial ambitions, revival of the Monroe Doctrine, and threats against Canada, Greenland, and Panama make him look and act like a 19th-century imperial adventurer. How does imperialism remain a characteristic feature of contemporary capitalism, and how does today’s imperialism differ from the aggressive expansionism of the great powers before 1914?

Costas Lapavitsas: Imperialism never disappeared. The classical Marxist theorists — above all, Lenin, Hilferding, Bukharin, and Luxemburg — established something that remains valid: Imperialism is at root an economic phenomenon, a historically specific way of organizing accumulation and surplus extraction at the world scale, backed by coercive state power. Imperialism is embedded in capitalism.

The forms and mechanisms of imperialism, however, have changed profoundly. The imperialism of the great powers before 1914 rested on territorial possession, colonial administration, and the direct extraction of resources and value. It sprang from the fusion of industrial and banking capital within national blocs competing for territory and markets. Today’s imperialism operates through an entirely different architecture. Global production chains dominated by multinational enterprises are paired with international banks and investment funds. They operate in a hierarchical system of production and finance anchored in the U.S. dollar. The system is exploitative and coercive but relies on payment mechanisms, collateral rules, and sanctions that enforce compliance without territorial occupation. Ultimate coercion, needless to say, depends on military power and naked aggression.

Trump is a symptom of this structure under stress, not its author. U.S. productive primacy has been eroding for decades while dollar dominance remains strong. That gap is now generating global political turbulence. The territorial gestures toward Greenland and Canada, the tariff wars, and the blunt transactional dealings with other major powers do not constitute a new imperial strategy. Rather, they are the behavior of a hegemon that can no longer reproduce consent and is falling back on raw positional power. Positional power without productive foundations, and without the institutional legitimacy that once underpinned U.S. leadership, is a diminishing asset.

Trump’s Economy Is Hurting Americans — and Setting Us Up for Long-Term Collapse

Can global financial capital and capital accumulation alone provide the key to understanding contemporary imperialism in its totality?

No. This needs to be said clearly, because the temptation to reduce contemporary imperialism mostly to finance is understandable given the extraordinary growth of financial power in recent decades.

Contemporary imperialism rests on the structural pairing of internationalized productive capital and global financial capital. These two forms are distinct but mutually reinforcing. A hedge fund can manage $1 billion or $1 trillion from the same offices on Wall Street; a semiconductor plant cannot double output without years of investment. Production is rigid; finance is elastic. But they interlock. Global production chains need dollar liquidity to function; financial capital needs the profit flows generated by production to have something to draw on.

The U.S. state holds this pairing together at the level of the world market primarily through its command of the dollar as world money. It guarantees settlement, enforces contracts across jurisdictions, provides crisis liquidity, and defines what counts as money globally. This is the hinge of the entire system.

And behind everything stands military power as the ultimate guarantor. The sea lanes through which the........

© Truthout