WE live in a bipolar world in which the United States and China are the two superpowers. How they interact with each other and what they jointly do will affect the rest of the world. Whether elephants are fighting or dancing together the rest of the world is likely to get trampled.

The presidents of the US and China met in California last week to decide how to run the world. The United States and China did not agree on everything and could not resolve several important issues.

The persistence of unresolved issues is indicative of real difference in national interests. It is also a reflection of mistrust among the Chinese and Americans. Indeed, they both suffer from being suspicious of the motives and distrustful of the actions of each other, while being calm and calculating in dealing with other countries.

A clear example of how suspicion and distrust affect relations is the issue of cyber espionage, which the US has repeatedly accused China of in both the private sector and in their security apparatus. The Chinese, however, deny penetrating the Pentagon’s computer systems, defence contractors and missile defence systems.

Given that cyber espionage can appropriate technology and information that can seriously affect comparative economic advantage and competitive military advantage, both Washington and Beijing need to build trust, even as they take every possible precaution to protect their respective national security.

Trust is difficult to establish, given that both countries have maintained carefully calibrated relations since President Richard Nixon broke the “ice” in the early 1970s. The current circumstances, though, do not seem propitious for the building of trust.

It is ironic that the US is pursuing cyber security so vigorously while there is an awkward domestic political atmosphere over the US Government having access to phone records of its own citizens and the balance between national security and the privacy of citizens in the use of electronic surveillance. This is not an issue in China, where electronic surveillance is an accepted part of life. However, it perhaps explains why the Chinese have not made the same accusation about the US.

The current leaked documents debacle in the US is potentially damaging to Sino-American relations given that Mr Edward Snowden, the admitted source of the leaked information, has taken refuge in Hong Kong.

This, naturally, has set off a torrent of questions such as: Why there? Was it

pre-arranged? Will he be granted

political asylum? and will the Chinese allow his extradition?

How the two rival superpowers will achieve cyber-détente in this milieu remains to be seen. It is heartening to know that, since the Korean War, more than 60 years ago, China and the United States have managed to deal with their differences in a manner which has allowed their peaceful coexistence.

Summits such as that recently completed between the two leaders of these great nations are an integral part of managing the bilateral relationship and maintaining a functioning bipolar world.