The aim of this paper is to research the conflict and cooperation areas in the Sino-American relations after Chinese new leaders came to power. A more cooperative relationship between China and the U.S. has been established after September 11, 2001. The Taiwan issue is one of the most politically sensitive questions in Sino-American relations because it could challenge two countries confrontation in the near future. Concerning the interests of the people across the Taiwan Strait and the U.S., the rational choice for Beijing, Taipei, and Washington is to conserve the status quo. Dialogue and negotiation are the best approaches to solve Cross-Strait disputes, and the peaceful resolution is a long-term and only way for all politicians.