ABSTRACT
The economic intricacies between the United States and China, complex trade relations, and the need of economic cooperation in the midst of divergence of motives and interests are imperative. The United States and China being the largest and second largest economies respectively in the world perform crucial roles in the vitality and stability of the international economy. At present, both economies are vigorously interdependent according to the generally used indicators like the absolute volume of mutual trade, flow of foreign investments, and ranking of market prominence for one another. Ever since the beginning of Sino-American diplomatic relations, the economic as well as trade relations between the two nations have marked a rapid growth. China’s economic reforms, rapid economic growth, and the effects of globalisation instigated robust integration of Chinese and US economies. For the past 10 years, trade volume between China and US has more than tripled even in the midst of differences as well as disputes on the reason that their economic and trade relations are profoundly entangled and cannot be stopped. But the trade skirmishes are something much more than the American trade deficit, and it is about the race for global power and economic supremacy. Moreover, the differences between the United States and China are reinforced by the initiation of Made in China 2025 programme which targets to build the country as a manufacturing superpower. Again, this shows that the competition between the two giants for dominance in the international system will not end in the near future.
