These characteristics have determined that the two countries have to seek compromise and mutual benefit rather than solely act on one's own instinct. This is confirmed by decades of Sino-US relations.

At the same time interdependence grows, so does competition. In some areas, including geopolitics, resources and markets, ideologies, civilizations and cultural values, the two countries are at odds with each other. Specifically, there is the competition for clout in East Asia, which means constant readjustment of each other's positioning in the region as the time and situation warrant.

China has no intention of challenging the United States' position in the world, including its position in East Asia. However, East Asia is the main stage for China, whose role as the country grows is bound to expand.

Currently, neither country is seeking confrontation, nor bases its survival and growth on the other's decline. On the other hand, stability of the relationship needs a few strings attached, which will provide clues for understanding where relations will go.

The first condition: Decision-makers from both countries want to develop the relationship, a wish grown out of each side's domestic need. Undeniably, internal forces from each country have different strength. The Chinese focus is based mostly on social matters, whereas the United States' is more concerned with trade and security, such as the post-September 11 anti-terror war.

The second condition: China's reform and opening-up and the foreign policy that goes with them will not be reversed, and the United States will not challenge China's core interests. As it stands, it is the latter that is the main concern.

The third condition: Both sides should abandon the Cold War mentality. Only when they have a full grasp of the substantial changes in the relationship will they be able to handle the impact that China's growth will bring to it and to world politics.

An American diplomat once commented: The United States does not have the capability to stop the trend that China becomes a world power; in the global context, any conflict between China and the United States will be a world catastrophe; the United States must find a way to get along with China even when it cannot work with China in all areas. The essence of this remark is, give up the Cold War mentality and get to know the importance of Sino-US co-operation in a world of globalization.