The transformation of China into an economic powerhouse will fundamentally alter Beijing’s relationship with the global economy and require far-reaching changes in the global institutional architecture.
The United States must generate more high-value jobs to capitalize on the opportunities presented by a rising China, which is likely to continue to make sustaining double-digit growth a key priority.
Although Brazil, Russia, India, China, and South Africa enjoy significantly more power individually nowadays, as a group they still haven't mastered the methods for transforming their newfound economic prowess into global power.
Regional maritime security challenges extend beyond any one nation’s borders and national jurisdiction. These challenges will become more acute as the regional dynamics in the Asia Pacific evolve and necessitate regional action and cooperation to be overcome.
By relying on low-interest loans to catalyze economic growth, China’s growth model resembles that of a huge development bank. While this approach has been successful so far, it remains to be seen whether it can be sustained.
While China’s new aircraft carrier does not pose a major threat to U.S. forces or allies in the Western Pacific, the United States needs to take steps to communicate this message of reassurance to countries in the region.
As emerging economies increase in size, a multi-currency arrangement will likely replace the dollar as the bedrock of the international monetary system. For both the United States and the rest of the world, this is not necessarily bad news.
China’s rise has left its neighbours disconcerted about the role that China will play in the region and wondering whether the traditional East-Asian order and system with China at the fore will emerge once again.
The divergent views held by China and the United States on maritime security have recently been on display in the Yellow and South China seas and it remains unclear whether the maritime realm will become an arena of cooperation or conflict.
The Strategic and Economic Dialogue should be used by both China and the United States as a medium to facilitate energy and economic cooperation, overcome mounting mistrust that exists in both countries at public and government levels.