The main objective of this thesis is to study the interests of European Union and People’s Republic of China within the Arctic region, and to discover the importance of exploring cooperative approaches to conflict resolution. It further uses the model of “prisoner’s dilemma”, to analyze the “Arctic game”, combining the interests of four selected dominant actors. In addition, it creates different scenarios based on the following schools of thought in international relations: realism, liberalism and constructivism. It highlights that Arctic matters involving secondary and important interests, confirms that the efficient approach has to take the stream of constructivism and liberalism. However, in relation to vital interests, it is the shadow of realism that dictates the least common denominator, and consequently the cooperative options, as we have shown in the prisoner’s dilemma. In terms of the outcomes, we envisage to offer a humble contribution to the future Arctic European Union cooperation strategy.