Fearful Duski

Brought Duski down for his evening walk and pee-poo. When walking past the ground floor corner house, suddenly a silky terrier(name's Yuki which I had known later from the Owner, a very friendly auntie who had just shifted into this unit) squeeze through the gates and 'pranced' towards Duski. She practically pranced cos she is such a dainty girl.

Yuki

Upon seeing Yuki coming over, Duski ran for his life with his tail bowed between his legs, and kept looking back to see whether Yuki is following him. Apparently, Duski is not afraid of humans, infact he loves human so much that sometimes Dandan and I suspect that Duski thinks of himself as a human. Duski is damn afraid of dogs. Even small dogs. *rolls eyes*. And Yuki is really small, like a toy silky terrier but 8 years old. So I caught up with Duski, carried him safe in my arms, and tried to introduce Duski to Yuki. When Yuki was sniffing all over Duski, he was twisting and squirming. Sigh. Maybe I shouldnt held Duski in my arms cos there's no way Duski can escape if Yuki turns nasty. (But she's such a sweet lil girl) So I just left Duski down and do whatever he want. Finally after a long long time, Duski managed to pluck up his courage to sniff Yuki's butt, and I think after that, Duski felt safe in Yuki's presence.

Anyway, there's once when Duski ran away from a Chihuahua. -.-

How can I help Duski to be less fearful of other dogs?
(Duski is a poodle mixed silky terrier male sterilised dog)