Dual Effects of Chinese Economic Liberalization on Its Foreign Policy

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Abstract
This paper deals with the cause of the recent signs of US–China strategic rivalry at the regional and international issues. The author focuses on the economic liberalization as a main cause of China's rising competitive tendencies against the US. China has articulated a grand strategy that is based on the idea of peaceful development. Chinese leaders have been seeking to characterize their country as a responsible world power, emphasizing on soft power and diplomacy of peaceful coexistence with the other major powers. But the other side of the coin is that the China's economic rising has been driving its hegemonic ambitions. China tries to achieve regional hegemony in Asia and attempts to push the US away from the region. The economic rise of China appears to be strengthening its global situation. It can lead to intensification of US–China strategic rivalry at global level. It seems that as a result of economic rise, China's foreign policy is becoming more realistic over time

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