VI. China and the US Can Resolve Differences in Economic and Trade Areas Through Equal-Footed Dialogue and Mutually Beneficial Cooperation

China and the US are the world's top two economies. Economic and trade cooperation between the two countries is so huge, substantive, and broad-based, involving so many players, that it is only natural for some differences to exist. The best way to address problems and bridge gaps is to seek paths for mutually beneficial cooperation through equal-footed dialogue. China-US cooperation is of critical importance to the best interests of the peoples of the two countries; it will also exert a far-reaching impact on world peace and development.

1. Equal-Footed Dialogue Should Constitute the Fundamental Approach in Addressing Problems Between Major Countries

Throughout history, examples of disputes and differences between countries abound, yet the approaches to addressing these issues have varied considerably. Resolving disputes through dialogue and consultation can deal with problems more efficiently and spare the international community unnecessary cost.

China and the US have their own national realities and are at different stages of development. The two countries have shared experience of dealing with challenges together. They fought side by side against the forces of fascism in World War II, they have engaged in counterterrorism and addressed public health emergencies, and they have seen fruitful cooperation in facilitating the establishment of multilateral trading system, and promoting open and prosperous development in the Asia-Pacific region. Through equal-footed dialogue, China and the US have the ability to clearly state their position with regard to major concerns, clarify relevant facts, explain the reasons for any concerns raised, discuss the factors leading to problematic issues, and work out possible solutions through consultation. Problems arising in the course of development are best addressed through the process of development, and a short-term problem may no longer be an impediment when viewed from a medium or long-term perspective. The fact is that no country will meet or satisfy another country's unreasonable demands to the detriment of its own reasonable development interests. This, however, does not prevent both sides from seeking possible solutions through equal-footed dialogue.

2. Mutually Beneficial Cooperation Can Help China and the US Realize Their Respective Development Goals

Both China and the US have their respective development visions and goals. In order to put limited resource factors to the most efficient use, better adapt to ever-changing development models created by emerging innovative technology, and create a stable global environment, China and the US should move in the same direction and collaborate in their development. 

Mutually beneficial cooperation leads to a higher output to input ratio. It helps to reduce repeated unnecessary inputs, allocate limited resources to areas of greater need, and increase development efficiency. It also helps to maintain a sound balance in international trade and offer more diverse choices of goods and services through effective market competition. 

Mutually beneficial cooperation creates the capacity to adjust more rapidly to changes. Past experience has shown that new technology will both improve production efficiency and disrupt the existing social economic model. AI and other technological progresses are reshaping the economic ecosystem, and energy structure transformation demands quick responses from all parties. China and the US can increase the speed and quality of their response to technological advances, and achieve greater benefits in development by strengthening cooperation in areas such as innovation, manufacturing, services and consumption.

Mutually beneficial cooperation leads to more sustainable development. Historically, the US championed the existing multilateral economic and trade framework, whereas China has been an active participant in the process. The multilateral rules accepted by all parties have greatly reduced the cost of international economic and trade cooperation. Mutually beneficial cooperation between China and the US can alleviate concerns about uncertainty in the market and support a faster global economic recovery.

3. The World Anticipates China-US Cooperation to Generate More Development Opportunities

Both China and the US play important roles in the global economic system. The two countries account for more than one third of the global economy and almost a quarter of the world's population, and their bilateral trade accounts for about one fifth of global trade. The US is the world's largest consumer market, and China is the second largest. Through the global supply chains, the two countries have provided extensive opportunities to all stakeholders. They have facilitated raw materials exports, intermediary goods production, and service industry development, thereby increasing the efficiency and efficacy of the global value chain. The sound, stable, and sustainable development of China-US economic and trade relations benefits the two countries, and it benefits the rest of the world as well.

China and the US can work together in the rationalization of global economic governance rules to adapt to the evolution of productivity. The multilateral trading system centered on the WTO, and the regional trade agreements represented by bilateral free trade agreements, are important platforms for economic governance. Since perspectives on an ideal multilateral economic and trade governance system may diverge, rather than levelling accusations at each other and opposing the existing system passively, we should take a more proactive approach to seek common ground and explore ways to improve the multilateral economic governance system.