America embraces wise traditions (6)
I believe the answer is:
usages
'traditions' is the definition.
(usages are traditions or customs)
'america embraces wise' is the wordplay.
'america' becomes 'US' (United States).
'embraces' indicates putting letters inside.
'wise' becomes 'sage' (similar in meaning).
'us' placed around 'sage' is 'USAGES'.
(Other definitions for usages that I've seen before include "Customs." , "Linguistic norms" , "Habitual practices with words" , "Customary treatments, practices" , "speech patterns" .)