Management is required in the China-US relationship.

The fact that US president Joe Biden and his Chinese counterpart Xi Jinping spoke on Monday is the most encouraging thing. The two biggest economies in the world's relations have been deteriorating at an alarming rate; according to some reports, Chinese officials recently stalled preparations for a meeting between the two men outside of Bali's G20 summit. But the world has already witnessed the Ukraine conflict escalate into a full-scale invasion by Vladimir Putin of Russia. Even more disastrous would be a Chinese invasion of Taiwan.

Beijing's nationalist and authoritarian turn under Xi over the past decade, its violations of human rights in Xinjiang, and its increasingly vocal calls for "reunification" with the self-governing island of Taiwan have forced a change in US-China relations. Nancy Pelosi, the speaker of the US House, visited Taipei in August, which infuriated Beijing and led to a military display by China. As a result, Biden has gone further than previous presidents in his pledge to defend the island. The White House implemented strict export controls last month with a focus on China's advanced semiconductor sector.

Further decoupling from China is inevitable because of Washington's determination to thwart Beijing's ambitions to overtake it as the top military and economic power in the world. However, Washington must also carefully manage its relations with Beijing. Three guiding principles should be used: that war must be prevented, that decoupling shouldn't cause the global economy to crash, and that China's cooperation is still required on a number of international issues.

Although the US and Soviet Union were already on the verge of nuclear war and had weak economic ties, there are some similarities with the US-Soviet detente that developed a few years after the 1962 Cuban missile crisis. Developing connections between officials at various levels was a key component of the detente process. China and the US both need to comprehend how the other thinks. Therefore, it is encouraging that Biden and Xi decided to name representatives to continue their dialogue. There may be a way to move toward more positive interactions.

China could start by restarting bilateral climate change talks that Beijing suspended following Pelosi's visit to Taiwan, as well as judicial cooperation on matters like extradition and drug enforcement. Resuming military-to-military communication is also necessary for both parties' security and trust in one another.

The US, on the other hand, has some flexibility in how strictly it applies its controls on semiconductors. Additionally, Taiwan has room for language restraint. On Monday, Biden took care to stress that the "One China" policy, under which Washington recognizes but does not support Beijing's view that Taiwan is a part of China, would not change. Although the president has insisted that such initiatives are the purview of Congress, Biden has the ability to engage in some behind-the-scenes maneuvering should the next House Speaker seek to replicate Pelosi's trip to Taiwan.

Longer term, Washington should combine its efforts to stop Beijing from acquiring cutting-edge military technologies with cooperation in areas of shared concern. These include preventing nuclear proliferation, pandemics, debt restructuring for emerging markets, and the transition to a greener economy.

The US would "continue to compete vigorously" with Beijing, Biden insisted in Bali. But as Kevin Rudd, a former Australian prime minister and expert on China, points out, competition between the two has been dangerously "unmanaged." The time has come for some careful management to prevent a disastrous deterioration.

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