In return for China and other emerging markets’ financing of the U.S. deficit in the past decade, the U.S.’s domestic interests may well be fulfilled by helping the Pacific Littoral to achieve parallel objectives of economic development and foreign policy alignment.  Francesco Sisci and David P. Goldman write for the Asia Times:

America’s objection to Chinese foreign policy center on China’s pursuit of commercial interest with countries (Iran, Sudan) whose behavior America considers unacceptable. America stands to gain an ally in questions of rogue-state behavior, terrorism, nuclear proliferation and other matters of national interest, in return for helping China achieve its legitimate goals. 

The goals of the partnership should be to: 

·      Support China’s internal development by re-orienting export flows towards China and other emerging economies from the United States and other industrial countries. 

·      Transfer technologies and other expertise to the emerging economies.

·      Make the emerging economies partners in the recovery of American asset prices. 

U.S. Deputy Secretary of State Robert B. Zoellick (L) and Chinese Vice Foreign Minister Dai Bingguo shaking hands before opening the first China-US strategic dialogue in Beijing, 2005.

Further on:

America should recognize that the deformation of its economy is the inverse of the deformation of the Chinese economy (as well as other emerging economies), and that their common problem has a common cure.
  The trouble in the world economy has been that a rich Chinese won’t lend money to a poor Chinese, unless the poor Chinese first moves to America. China bought American mortgages, including poor-quality assets dressed up as high-quality assets, because China does not have the financial, legal and administrative capacity as well as the trust to write sufficient mortgage business at home.

Further on:

The United States should offer China a general reduction in restrictions on imports of American technology and acquisition of American companies, in return for a treaty linking Chinese and American security interests. The treaty would include: 

·      A system of royalties for technology transfers and guarantees against pirating.

·      Freedom for Chinese companies to acquire American companies, including financial institutions.

·      Agreement on a common stance towards rogue states, nuclear arms proliferation, terrorism and other issues of mutual concern, covering such issues as Pakistan, Sudan, Iran and other areas of past diplomatic conflict. 

·      An agreement on strategic arms deployment in Asia. 

·      A roadmap for China’s democratization.

·      Environmental and energy-efficiency goals.

·      Stabilization of China’s yuan against the dollar to support free capital flows between the US and China.

For a backgrounder on U.S.-China relations, see this testimony before the Senate Foreign Relations Committee.