America and China Can Have a Normal Relationship How to Move Past Strategic Competition

Da Wei 

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U.S. President Donald Trump and Chinese leader Xi Jinping in Busan, South Korea, October 2025Evelyn Hockstein / Reuters

DA WEI is Director of the Center for International Security and Strategy and a Professor in the Department of International Relations at Tsinghua University.More by Da Wei

In the repeated cycles of confrontation and détente that define U.S.-Chinese relations, a paradox has emerged. Economic relations between the two countries are more fraught than ever: in early October, for the second time in just six months, the United States and China launched a trade war, imposing prohibitive export restrictions and threatening to raise tariffs to previously unthinkable levels.

Yet the U.S.-Chinese relationship also appears increasingly resilient. Although leaders in both Washington and Beijing have seemingly shrugged their shoulders at the rapid decoupling of the world’s two largest economies, the first bout of trade escalation in April and May gave way to a period of relative calm. Over the past ten months and even during the final two years of the Biden administration, U.S.-Chinese relations have been showing signs of rebalancing. Each time a crisis has arisen, such as when a Chinese unmanned high-altitude balloon flew into American airspace in 2023, U.S. and Chinese leaders have sought to quickly stabilize ties, suggesting that the world’s two largest economies still share a structural need for a broadly steady relationship.

These contradictory trends signal that the U.S.-Chinese relationship might be at an inflection point. Neither Washington nor Beijing harbors any illusions that the two countries can return to the pre-2017 era, in which interdependence and engagement, rather than decoupling and strategic competition, were its defining features. But short-term economic spats and tactical maneuvering for potential deals should not obscure the possibility that the United States and China can move beyond an era of adversarial competition toward a more normal relationship—one in which they can coexist peacefully in a state of cool but not hostile interactions. The meeting between U.S. President Donald Trump and Chinese leader Xi Jinping this week in South Korea presents a narrow but important opportunity for the United States and China to enter a new phase of bilateral relations.