During Donald Trump’s presidency, the term “Cold War 2.0” was popularized in the context of U.S.-China rivalry, which has been spurned by China’s economic rise. By becoming the fastest growing economy around the globe, China is challenging the U.S.-led economic system and laying the foundation to become a military superpower.
As the second-largest military spender after the United States with a speculated military expenditure of nearly $250 billion, China is using its military might to assert its territorial claims in the South China Sea (SCS). China is constructing artificial islands across the SCS while also establishing its first-ever foreign military base in Djibouti at the strategic chokepoint of Bab el-Mandeb.
These actions are influencing U.S. perceptions that China’s rise is a threat and, hence, a new global competition between the United States and China for hegemonic status has begun.
The Cold War 2.0 shares similarities with the original Cold War (1945-1991) in many aspects. First, during the Cold War, the United States and Union of Soviet Socialist Republics (USSR) were the prime contenders for superpower status, however, the threat of an active military conflict between the two was largely defused due to the nuclear deterrence.
The Cold War 2.0 shares similarities with the original Cold War (1945-1991) in many aspects. First, during the Cold War, the United States and Union of Soviet Socialist Republics (USSR) were the prime contenders for superpower status, however, the threat of an active military conflict between the two was largely defused due to the nuclear deterrence.
Hence, this allowed both the United States and USSR to collaborate on major global challenges, like resolving the 1956 Suez Canal Crisis. Although nuclear deterrence is still viable today, the context of the U.S.-China rivalry is far more beholden to economic interdependence—trade relations amounted to $660 billion in 2018—whereas U.S. trade with the USSR remained low throughout the Cold War.
Nevertheless, the ongoing U.S.-China “trade war” has somewhat reduced their mutual dependency, providing space for more divergent foreign policy behavior. China has also sought to exclude the United States from its ambitious Belt and Road Initiative which is aimed at enhancing its economic presence through the multi-channel yet interconnected global framework. READ MORE...
