Relations between the United States and China are discussed, and future policy recommendations are made. There are eight major sections. Section I contains an introduction. Section II examines common interests of the United States and its friends and allies. The third section deals with the evolution of relations between the United States and China. The recent background is described. Evolution of Chinese policy--economic, domestic political, foreign, and defense--is discussed. Evolution of U.S. policy regarding U.S./China economic relations, mutual understanding, U.S./China security relations, and U.S./China cultural and educational relations is also examined. Sections IV, V, and VI explore the prospective influence and likely interaction of other key actors that may influence the U.S./China relationship, e.g., the Soviet Union, Taiwan, and other Asian countries. The seventh section deals with the relationship between Atlantic and Pacific security. Policy recommendations conclude the publication. (RM)