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The relations between China and the United States have been rapidly deteriorating and appear to be reaching a point of no return. During the annual session of the National People’s Congress, Chinese leaders took aim at the recent approach of the United States to ties, with President Xi Jinping stating that China was facing unprecedented severe challenges due to Western countries, led by the U.S., implementing all-round containment and suppression of China. Chinese Foreign Minister Qin Gang also rejected the Biden administration’s claim that it seeks to out-compete China but does not seek conflict, saying that it means to contain and suppress China in all respects.

Recent events suggest that the rift between the two countries is here to stay, with both sides shoring up alliances and partnerships in the region. For the rest of the world, this is creating uncertainty and difficult challenges. China is increasingly looking at the rest of the world through the prism of its all-encompassing U.S. rivalry, and appears to be mending fences with Europe while courting its neighbours. The U.S., on the other hand, is shoring up alliances and partnerships in the region. India, in particular, must be nimble enough to exploit the opportunities in an increasingly divided world.

As the world's two biggest powers, it is important that China and the United States do not allow their differences to polarize the world. The two leaders had agreed to "responsibly manage" competition at the G-20 Indonesia meet in November 2022, but recent events have not inspired confidence. Both sides must work towards finding a way to resolve their differences and coexist peacefully for the benefit of the entire world.

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