Nathan Goes to China #3: US-China Relations, the Art of the AI Deal & the Road to Pax Robotica

US-China relations require a shift from a zero-sum "winning" mindset toward a "Pax Machina" framework that prioritizes mutual prosperity and the shared benefits of AI. China’s technological rise represents a historical reversion to the norm rather than an anomaly, supported by deep human capital and long-term strategic investment. While the United States possesses unique strengths in cultural dynamism and immigrant assimilation, it must abandon containment strategies that fuel Chinese resentment and instead pursue constructive engagement. Key policy recommendations include maintaining a shared AI paradigm to prevent dangerous tech-stack divergence, utilizing confidential computing for verifiable security, and fostering positive-sum competition through global disease-cure leaderboards. Rather than fearing China’s rise, the United States should focus on developing state capacity with American characteristics, learning from China’s successes, and avoiding the creation of an AI-powered "Sword of Damocles" through unnecessary arms races.