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In a report by The Economist on Tuesday, the newsletter wrote that many nations are unwilling to economically break apart from China, despite growing US pressure on them.  It added that many of the sectors that fuel their growth have supply chains that flow through China, and despite the connected ties, China's investment in their infrastructure is beneficial.

Although US Defense Secretary Lloyd Austin and his Chinese counterpart Li Shangfu met briefly at the 20th Shangri-La Dialogue in Singapore and shook hands, Austin termed it "unfortunate" that the Chinese denied the request for a meeting of defense ministers on the sidelines.

"A cordial handshake over dinner is no substitute for a substantive engagement," Austin said after the US-sanctioned Chinese official refused the invitation.

In early June,  Austin accused China of “coercion and bullying” of its allies and partners by China, while claiming that the US remains committed to maintaining the status quo on Taiwan and citing the importance of continued talks over conflicts.

In response, a spokesperson from the Chinese embassy in Washington highlighted the value of communication for mutual understanding in a statement on Friday, but the diplomat underscored a repetitive pattern of US "diplomacy".

"However, now the U.S. says it wants to speak to the Chinese side while seeking to suppress China through all possible means and continue imposing sanctions on Chinese officials, institutions, and companies," the statement said.

The Economist adds that if one day China invades Taiwan, these same nations may need to choose a side.

Read more: Lindsey Graham urges US 'defense alliance' with Taiwan

The  Lowy Institute, an Australian think tank reports that America's influence inside the Association of Southeast Asian Nations (ASEAN) has dwindled in the last five years, while China's has increased.

The institution analyzed the two nations based on 42 metrics divided into four categories: economic links, defense networks, diplomatic influence, and cultural impact. They gave the two powers a total of 100 points based on how well they performed. In 2018, China had 52 points and the United States got 48. China will have 54 points by 2022.

According to the institute, America has lost the most influence in Brunei, Indonesia, and Malaysia, and has gained only in Laos, where China still wields the most power (see chart). The Philippines and Singapore are the two countries where America's influence is equal to or greater than China's.