When Country Matters More Than Product: A New Burden for American Brands
This turbulent geopolitical context we are currently experiencing is not foreign to the world of branding. Just as individuals have “personal branding,” countries have what’s known as “nation branding.” Nation branding is essentially the intangible value of a country’s reputation and image — and it’s truly important. A country’s brand can affect things like foreign investment, tourism, or even the image of brands from that country, which may suffer through association.
Of course, a country’s brand is shaped by many factors, but undoubtedly one of the most significant is its current government. That’s why today we’re going to talk about how the United States’ brand has changed since Donald Trump arrived at the White House.
As you can imagine, the change has been radical. Since the Cold War era, back in 1947, the U.S. positioned itself as a leader and defender of the West, championing values like freedom, progress, modernity, and development — in contrast with other regions such as war-torn Europe, or authoritarian examples like China and Russia, where individual freedoms are restricted.
This image, accompanied by an expansive foreign policy, led to numerous agreements with regions like Europe, Japan, Morocco… heavily influencing the social imagination and ideals of many of these countries. Having ties with the United States was seen as something positive, and the pro-American narrative enjoyed widespread support from the general population thanks to the strong country brand that had been built.
Many major companies benefited from this situation, which helped drive their international expansion. Brands like Coca-Cola and McDonald’s entered new countries at lightning speed, thanks to the groundwork laid by their home country. More recently, Silicon Valley has come to embody global values of entrepreneurship.
But has all that come to an end?
With the arrival of “America First,” a new tone, threats, and trade wars that came with this new approach, more and more people around the world are beginning to see the U.S. as a threat — and that carefully crafted image is crumbling in our minds.
This is not a superficial change. We’re witnessing a deep transformation that strikes at the very core of the ideals, values, and narrative of the America we once saw as an ally.
Just as the country’s image once helped American businesses thrive, this new phase is now weighing them down. Brands like Tesla, once icons of modernity and future-thinking, now, through their CEO, project reactionary and ethically questionable ideas. How is it possible that Elon Musk hasn’t considered the impact his personal image has on his companies?
But Tesla isn’t the only one. Even brands without such an aggressive positioning — like Coca-Cola — are suffering consumer boycotts in countries like Denmark, all due to the U.S.’s new stance on the global stage.
In contrast, on the other side of the Pacific, Chinese brands have been evolving their image and meaning for years. Companies like Xiaomi, Huawei, Aliexpress, Shein, or Temu are undergoing unprecedented international expansion, partly thanks to Xi Jinping’s efforts to build ties with countries around the world.
China’s model, based on capital investment and trade agreements, has helped solidify its global positioning, and the perception of its brands has changed over time. Gone are the days when “Made in China” was a sign of poor quality.
Few things have united such a diverse range of people under one banner as the rejection of the oppression and dominance radiating from the new, MAGA-style United States. A rejection that has spilled over to American brands which, without intending to, are seeing their international business threatened.
When this values-based and commercial war ends, the damage to brands will only just be beginning. The shift in how global consumers perceive the American brand is already underway, and reversing it will be no easy task.
The big question is: Can the nation brand recover? What will be left once the storm ends?
