In her new book "This Brave New World: India, China and the United States", published by Simon and Schuster, Manuel stresses on bringing China and India along as partners rather than alienating one or both.
"We should find joint projects together that help us all, such as the civil nuclear agreement between the US and India I had a small part in negotiating, or the climate change agreement China and US announced in December 2014.
Manuel is co-founder and partner with former Secretary of State Condoleezza Rice, former National Security Advisor Stephen Hadley and former Secretary of Defence Robert Gates, in RiceHadleyGates LLC, a strategic consulting firm which assists CEOs and senior executives of major US companies to expand their business and meet regulatory challenges in key emerging markets such as China, India, Africa and the Middle East.
According to the Manuel, India and the US should both be clear with Beijing about where their lines are and enforce them consistently.
"India could be helpful by also making clear to China,
Vietnam, the Philippines and others that land-grabs by any country are inappropriate. India could also, for example, help the international community keep the pressure to stop Chinese industrial cyber-spying," she argues.
"Some Chinese companies are actively 'making in India', Indian technology firms are bringing their known-how to China, and US companies are helping China with clean energy or providing care for China's graying population - all while supporting good jobs in each of our home markets. All of us can invite Chinese students to our homes, travel there, and engage as much as possible to increase our limited knowledge of each other and end the distrust."
Manuel thinks apprehension about China has brought India and the US closer.
"When I speak to Indian officials, they see China similar to how we in the US see it: First, it is a very important economic relationship, and everyone wants to maintain positive relations with China. However, for the US, China's cyber-stealing of industrial secrets, its promotion of national champion companies and its increasing assertiveness in the South China Sea sometimes makes relations difficult," she says.
"So part of the new alignment between India and the US is because both are looking over one shoulder at Beijing. This is a positive development, but we must ensure that we are clear and consistent with Beijing about where the lines are, but that we also make a real effort to cooperate closely with them - to avoid making China feel more surrounded and isolated," she argues.
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