China-U.S. relations are now “too big to fail,” and thus the two countries must seek a new pragmatic balance in their relationship.

China-US relations are entering a new stage of flux. We should remember that history shows how restraint and flexibility can allow the two giants to navigate around tensions in their complex relationship.

The European Council has issued a new definition of China: from the EU perspective, China is simultaneously a political and economic challenger and a partner in multilateral global governance. Through established forums like the G20 and UN, along with new iniatitives like the Belt and Road or the “16+1” format, China and Europe can build on their trade partnership to face common challenges like climate change.

An Indo-Pakistan conflict was prevented from turning into full blown war by China and other countries. However, the threat for future conflict between both countries lingers on.

In Washington, DC, a bipartisan consensus about China has emerged: the United States is facing a trade-manipulating, authoritarian intellectual-property thief that represents a strategic threat to the US and its allies and deserves to be punished. But the consensus is wrong. In fact, China deserves recognition, if not appreciation, for its achievements.

Japan’s China policy has traditionally been reactive to a more assertive US grand strategy. Yet, in recent years Japan and the US have traded roles, as Abe advanced a China strategy that cajoled more active US support. However, Trump’s confrontational posture against China should worry Abe.

China is looking to develop its polar strategies and increase its participation in global polar governance initiatives. This proactive stance will almost certainly clash with an American agenda, regardless of the administration.

Continued friction may define US-China relations in the coming years. As such, balancing ties between the two major powers will constitute the greatest foreign policy test for successive Philippine administrations.

Americans should be confident in their future. China poses a serious challenge, but Washington can do much to prevent relations from turning violent.

The competing rivals are vulnerable to extraneous actions unrelated to the rivalry, by some third party, unintended by either of the principal rivals, which nonetheless one or the other feels obliged to respond to, setting up a spiral that often ends in a conflict, even a catastrophic conflict.