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Seminar paper from the year 2006 in the subject Politics - International Politics - Region: USA, grade: 1,3, University of Potsdam, language: English, abstract: This paper argues that relations between China and the US are defined by both symbiosis and competition. A symbiosis exists between both countries in the economic realm - fostered by huge flows of trade, investment and finance. By massively accumulating dollars China provides finance to the US, which in turn buys the bulk of Chinese exports. In the geopolitical arena Beijing and Washington are latent competitors. China tries to engineer a "peaceful rise" to once again become a respected power, while the US is not willing to accept a peer competitor.