There is an immense debate on the US-china trade war across countries lying in the western and eastern hemispheres. Who is going to triumph? What if both countries come to common terms and streamline entrenched concerns. If this trade war is over, will the USA and China become friends again? But it seems such heat will continue to thrive because it is not simple economics of trade imbalance and deficit, but rather it is about global dominance and control. China, being the second-largest economy in the world has strong investment holdings in Africa and Asia, which helps her gain more influence and power. China has been doing economic wonders, advocating international trade by joining the World Trade Organization in 2001. With a total GDP of $ 12.24 trillion, China’s annual economic growth eclipsed 6.5% which is above the set target. With rising per capita income of $ 8827 (World Bank Report 2017), China is one of the fastest middle class growing countries with ever-increasing purchasing power. Along with this, China has invested $ 1.3 trillion in the United States Treasury. Economists have the conviction that infrastructural development coupled with strategic plans in reforming the industrial sector is driving force behind the Chinese economic miracle. Not only on the domestic front, China has also strong footing in influencing the geo-political scenario by introducing Belt & Road initiative (BRI) which is worth $ 1.3 trillion, the biggest project ever envisioned that connects almost 72 countries of the world lying in South Asia, Central Asia, Africa, and Europe & Australia. Along with physical infrastructure, Belt & Road Initiative also entails the spread of fiber optic originating from China and connecting all BRI countries digitally, consequently place China as a new Internet Service Provider. White House is actively observing all underlined economic and geo-political moves by china and not only the US Government but also, according to Gallop Survey conducted in 2017, asking American citizens “Who is the economic superpower of world?” 90% of respondents named China instead of boasting about their own country. The most recent Pentagon’s defense policy review entitled China & Russia as strategic threats, the report further states that US defense industry mainly outsources precision & other earth metals from China, thus making it more dependent and vulnerable. The current trade-war initiated by the USA not only has economic but also geopolitical reasons. The USA enjoys influencing global politics through its robust economy, a military stronghold, and important allies. On the economic front, it influences international trade through USD & free market mechanisms, on the political front, it influences countries with the slogan of democracy, human rights, and freedom of expression. Keeping in view the current scenario, White House think tanks consider China as a new rising world power which has started influencing the global politics and trade through BRI, internationalization of renminbi, controlling many seaports in across continents countries, digital BRI and there is more coming in the form of introducing 5g technology, artificial intelligence, reforming industrial sector, visible presence in space. These are some components of China’s vision 2025, 2030 and 2049. “The USA does not afford any country to be the regional hegemon,” said John Mearsheimer during a talk in the University of Ottawa. On the economic front, both countries need to collaborate. Apple has 70% production of iPhones in China, while Huawei imports all semi-conductors for its mobile phones from the USA. China imports Soybean oil, autos, & commercial aircraft from the USA while the latter imports precision material, computers, apparels and footwear from China. Both countries have interdependence upon each other in terms of trade. The trade war hits the consumers hard in both countries, as the cost of goods rises due to additional taxes, and suppliers shift the tax burden to consumers. On the political front, the USA requires the support of china on geopolitical issues like the North Korea nuclear program, Iran uranium enrichment program, fight against terrorism and so on. Meanwhile, China needs the USA in resolving the trade conflicts, letting its allies roll-out 5G with Huawei, and non-intervention in the South China sea. Both countries will restrain escalation on the trade war, if they compete with each other, both lose, if they collaborate, both win, that’s the simple game theory philosophy. The writer is a PhD scholar in Business Administration in Dongbei University of Finance & Economics, China.