In the last years, China and the United States of America (US) have engaged in unprecedented competition in emerging technologies (ETs), in a context of China’s growing presence and shifting position in the international system. Drawing on data between 2017 and 2023 and strategic decisions, such as bans and export controls directed at China’s companies and the changing alignment posture of Western states, we employ the Balance of Threat (BoT) theory to examine China’s changing aggregate power, offensive capabilities and aggressive intentions, while also establishing the vanishing importance of the geographic dimension. We then turn to the behavior of the US and Western states by drawing on the BoT theory, which suggests balancing as a prime strategy to counter the threat and identify instances of the formation of a balancing coalition against China. We demonstrate how the notion of threat in ETs can be approached and conclude with a characterization of balancing in the domain of ETs that resonates with the notion of “gradual balancing”, in addition to outlining suggestions for future studies.