The limits of China’s non-interference foreign policy: Pro-state interventionism and the rescaling of economic governance

China's foreign policy has been long committed to a principle of non-interference in the internal affairs of sovereign countries. While one could easily point out past and present-day inconsistencies in its implementation, this article argues that defenders and critics of the principle both rely on a limited interpretation of ‘interference’ or ‘intervention’ based on an ideology of Westphalian sovereignty. Particularly problematic is the conceptual distinction between the ‘political’ or ‘diplomatic’, on the one hand, and the ‘economic’, on the other. As Polanyi's concept of embeddedness reminds us, markets, society and politics occur simultaneously, and can only act as discrete realms in epistemological abstractions. It is thus argued that non-interference is a semi-formal institution that governs China's diplomatic engagements and affects its economic activities. While the totality of China's interactions with the world has diverse and sometimes contradictory impacts on global governance, non-interference itself has apparent consequences for the rescaling of regional economic governance. Specifically, this article contends that Chinese non-interference results in the empowerment of political elites at national levels, and thus in the (re-)emergence of the nation state as a gatekeeper and facilitator of the advancement of capitalist enterprises. As a result, through non-intervention, China's foreign policy undermines supranational regulatory approaches and fosters state-based regional architectures.