The additional good news from this transition is that while manufacturing declines as a percentage of GDP, the services sector will continue to grow faster in China. The transition to services will lead China's economic growth. As a powerful service industry nation, the U.S. has a huge stake in China's future market reforms across the broad reach of service industries integral to a modern competitive economy.

Fourth, China is treading a delicate line between its needed domestic monetary reforms and its growing role in the international monetary system. For any nation, monetary policy is a cornerstone in economic stability. In this volatile time, China faces a particularly tough challenge meeting multiple and often conflicting monetary policy goals simultaneously.

China needs to establish a strong Renminbi in order to join the international currency basket and serve its long-term economic growth. But this requires significant financial reforms that China is reluctant to make. At the same time, China also needs a weaker Renminbi to promote trade and short-term economic growth.

Balancing these needs is not easy. China missed almost all of the international financial integration begun in 1945 at Bretton Woods. Not until the late 1990s did China begin to map out its independent monetary policy. To the Chinese central bank, intervention in the market, somehow, is a learning experience.Very often, it is not considered a smart choice, but just an option.

Finally, and most importantly, despite recent tensions, trade and economic interdependence between the United States and China has reached a historically high point. This trend will continue. This has been the exact message from Wall Street recently. China's economic slowdown hits Wall Street harder than the Chinese domestic market. As we have seen progress made through the U.S.-China Strategic and Economic Dialogue in June 2015, both sides have realized the strategic importance of cooperation.

Unfortunately, it's an election year in the U.S. China has become a prime target for politicians since the first Clinton election. Let us hope economic statecraft runs to the front and makes the U.S.-China trade relationship better for both economies. The implications will be felt across the globe.

Zhang Lijuan is a professor with Shandong University, China. She is a columnist with China.org.cn.

For more information please visit: http://www.jhzsvip.com/opinion/zhanglijuan.htm

Robert Rogowsky is a professor with the Middlebury Institute of International Studies, USA.

Opinion articles reflect the views of their authors, not necessarily those of China.org.cn.