This paper explores the paradox of US policy on dual-use technology cooperation with China in the face of resistance from a strong section of the security establishment. The paper examines the factors contributing to the current level of dual-use technology business between the two countries. It finds that the US Cold War grand strategy of co-opting China by dividing the socialist bloc has resulted in embedded commercial interests that have been further bolstered by the strategic need for ties with China. To neutralise piqued interests, the United States is constantly engaged in the business of devising safety valves in the form of export controls.