The Innovation and Competition Act of 2021 is a comprehensive attack that marks the advent of a comprehensive containment strategy against China by the United States. In response, China should cast aside unrealistic expectations, maintain strategic focus and put our own house in order.

Three major matters underpin the future of China-U.S. relations. First, there is no such thing as a destiny of doom as presented in the concept of the Thucydides trap. On the contrary, the future of the Sino-U.S. relationship is largely up to both countries to assess, determine and choose.

The United States and China are embroiled in a contest that might prove more enduring, more wide-ranging, and more intense than any other international competi­tion in modern history, including the Cold War. In both countries, fears have grown that the contest might escalate into open conflict.

Southeast Asia’s coalition of small-to-medium sized nations have hosted superpower conflicts, yet they are overshadowed by larger regional powers on the global stage time and time again. American leadership will struggle to find welcoming allies there without a drastic upgrade in its dealings with ASEAN member nations.

Efforts to placate both the United States and the PRC are proving ever more challenging, as the recent Group of Seven and NATO summits have shown.

The problem of an aging society afflicts both China and the United States, and there is plenty of room for cooperation to address common interests. As the demographic trend continues, the impact on their respective agendas will only become more pronounced.

As the Biden administration heads into the second stage, clear steps are visible: Clear out the negative Trump legacy, tighten global strategy, coordinate with allies to curb China and prioritize climate change in China-U.S. cooperation. Some things differ from Trump; others are the same or expanded.

Katherine Tai’s appointment as the top economic negotiator for the U.S. may signal America’s overall direction in trade relations with China, but Tai’s actions have yet to reveal clear steps forward.

China and the U.S. share misguided illusions of the other that remain unproductive and even dangerous. Both governments must strive to see each other clearly and cooperate in the face of increasing public hostility.

Using the buzzwords “compete, collaborate, confront” to express the U.S. approach to China is inadequate, as they fail to take nuances into account. In fact, the 3C framework has led to the Chinese view that Biden’s approach is too negative and has only added to the complexity of relations.