In the old days just a few decades ago, young children were made to sit in rows with their hands folded on their desks for much of the day. But now that has been expanded to make room for movement along with collaboration and creative play. There still needs to be more of that and less memorization though.
Yes, I believe the American education system destroys creativity in children, because each child is only given the exact same education. Students are not encouraged to learn anything new and different; they are told to be quiet and complicit and just learn what they are given. They can only be little repeaters.
Having had the privilege of studying overseas as a young child, I've seen some incredible methods of educating and encouraging creativity as well as rewarding it. The United States education system is flawed, no doubt, but all systems currently functioning are to some degree or another. That does not, however, mean that the system is destroying children’s creativity. I do believe that it is not nurturing, encouraging, or rewarding children’s creativity, but not destroying it.
I do not believe the American education system destroys creativity in children. These schools offer classes in art and music among other things. Students have ample opportunities to be creative but they should also learn creative skills at home as well. Children develop creativity in many ways, I do not think our education system hampers this process.