The latest round of tariffs against China may be the blow that eventually knocks down an already wobbly American economy.

The current trade war will do little to curb China’s economic development. It masks deeper unease in the US about threats to American hegemony of an increasingly multi-polar world. Yet both countries stand to gain from continued cooperation. The escalating trade war, driven by an outdated mindset of American exceptionalism, will do more harm than good.

This will be the tenth year that I have taught a course at Yale called “The Next China.” The course focuses on modern China’s daunting economic transitions. It frames the moving target that eludes US President Donald Trump’s administration, which is taking dead aim at the Old China (a convenient target for a leader who wants to resurrect Old America). The incoherence of Trump’s trade and economic policies, with all their potentially grave consequences for the global economy, is a destabilizing byproduct of this disconnect.

Trade talks between China and the United State have morphed beyond trade disputes, the solutions require the political will from the highest level. While working for a positive outcome, both parties should be prepared for a “no deal” scenario. The window of opportunities is closing.

Over the next decade, new perspectives on sovereignty, human rights, and intellectual property will revise current legal norms. We are not in a ‘Cold War,’ but Beijing is courting US allies away from liberal democracy with investment, as globalization and its growing pains prove unpopular and spread populist politics across the globe.

Though many negative beliefs continue to circulate widely within the American media and the American government, Shen Yamei makes clear that these fallacies are unfounded by analyzing relevant literature, key moments in US history and American foreign policy strategy. She argues that, China will not bend to American narratives, and only when the US starts to realize it, can it begin to reverse course and decide to put its China policy back on the right track.

The normalization of U.S. Coast Guard presence in the South China Sea is likely to lead to greater competition and interference. Far from keeping the peace, U.S. intrusions into the region are deliberate exercises of power that aim to assert control.

While China-U.S. relations remain moderate, they are also in a critical position to steer away from a full ideological conflict. In order to prevent another cold war, both sides must recall that cooperation is in both parties’ best interests.

The remaining gaps in the U.S.-China trade negotiations are harder to resolve because they reflect differing views on what is the ultimate game plan of the trade war.

In refreshing its competition strategy against China, the U.S. has revealed changed tactics since the Cold War era, embracing an “integrated campaign” that makes use of cooperation, competition below armed conflict, and armed conflict.