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The future of the world depends on how the top two economies work out solutions and prevent their conflict from escalating into a permanent one, said Henry Kissinger, the former US secretary of state, on Thursday.
"I am confident that the leaders on both sides will come to realize that the future of the world depends on their capacity to analyze the challenges together, to work out solutions, and to manage the inevitable difficulties," the 96-year-old said at an annual gala dinner of the National Committee on US-China Relations, or NCUSCR, in New York City.
China and the United States have been locked in a trade dispute since early last year, with tensions only starting to ease following "substantial progress" in their latest round of talks early last month.
"There may not be a complete agreement. What is imperative is that both countries understand that a permanent conflict between them cannot be won," Kissinger told a packed room. "There will be a catastrophic outcome if it leads to permanent conflict."
Kissinger, whose secret visit to China in the early 1970s paved the way for the normalization of Sino-US relations, is still actively involved with the relationship. He is expected to attend the New Economy Forum, launched by US media mogul Michael Bloomberg's company, next week in Beijing.
NCUSCR Chair Carla A. Hills also said the fact that last month the negotiating teams took a small first step toward reaching agreement is a good sign.
"Hopefully in the coming months we can achieve positive outcomes on the range of issues that divide us," she said. "I am more optimistic. I believe that we can and must, in our own national interests, work together to ensure prosperity and peace."
Hills, also chairman and CEO of Hills & Co, a Washington-based advisory firm on trade and investment, noted that this year marks the 40th anniversary of the establishment of diplomatic relations between the United States and China.
"The gains made in the intervening four decades have been hugely beneficial to both sides," she said.
Also speaking at the gala, Stephen A. Orlins, president of the NCUSCR, said the bilateral relationship at times seems "very dark".
"Yet I am often uplifted by the words of one of my heroes, Dr. Martin Luther King. In the final speech of his life he said, 'I have been to the mountaintop. Only when it is dark enough can you see the stars.'" Orlins said.
"It has shone a bright light on what needs to be done. It has shone a bright light on the importance of our mission," he said.
"We have seen limitations on Chinese students coming to the United States that hurt America's ability to attract the top talent in the world. We have even seen threats to limit Chinese companies to list (on financial markets) in the United States," Orlins said. "As fiction takes root, we focus on facts. As our governments tear down bridges, we build them."
Evan G. Greenberg, chairman and CEO of Switzerland-based insurance company Chubb, said that China-US cooperation and engagement have benefited both nations.
"The US business community wants engagement, not decoupling," he said. "We don't support the trade war as a strategy. We want to compete but insist we do so on a leveled playing field."
"We seek cooperation and healthy competition while we each defend our respective national interests. We want negotiations that lead to substantive agreements and outcomes, not tariffs," said Greenberg.
The 2019 NCUSCR honored Ray Dalio, founder and co-chairman of Bridgewater Associates LP, who has retained a personal and business relationship with China for more than three decades and helped the country establish its first stock exchange.
He said he hoped both countries could handle the bilateral relationship with mutual understanding, that "instead of wars, which means lose-lose relationships, we approach this with win-win relationships, by seeing each other through each others' eyes and not expecting the others to be like us in all respects as we evolve through time," he said.
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