I will be short and will not quote the shitload of text of the joint statement of the 4th US-EU TTC (trade and technology council) is full with indirect references to the PRC from it's economic model (non-market policies) (they harbour the ambition to force upon us their preffered neoliberal model) to many other areas if you recognize their jargonspeak. They can better change the name to US-EU PRC targeted TTC.
When 'America First' has to enhance cooperations with these rich powerful nations in so many critical areas in their dealing with one poor developing China (ranking only 64 GDP per capita, Wikipedia), things must be going badly.
To make matters worse, Global South is starting to make independent decisions that can further weaken US leverage.
US and Allies can still manage the situation if they start to acknowledge other countries differences and not impose their own 'rules based order'.
Their sanctions against China (and Russia) are double edged, they no longer provide the required results while creating new challenges for themselves. US & Europe biggest threat is lack of leadership, not China,