U.S. companies are increasingly concerned a hardline approach could stunt their prospects in the world's second largest economy – and turn them into targets of Chinese retaliation. China's retaliation tactics could range from economic changes to matters of diplomacy and security,

Tariffs will affect the exchange rate, it will affect China's capital flow, and also will affect how much China will buy US Treasury bills, said Zhu

With his nomination of China hardliner Marco Rubio for secretary of state, U.S. President-elect Donald Trump has signaled his policy toward Beijing could go beyond tariffs and trade to a more hawkish stance on China as the United States' main strategic rival.

Given the above, how will China likely react to Trump’s second term?

China entered the fourth quarter with a more balanced economy as consumption growth nearly caught up to factory output, in an upswing that now depends on how much more stimulus Beijing may deploy in the event of a tariff shock when Donald Trump returns to the White House in 2025.

As China attempts to move towards a consumption-based economy, the Politburo is trying to eliminate economic drags before President-elect Donald Trump imposes tariffs. While the markets are pessimistic,

China must be careful not to engage in another round of tit-for-tat tariffs when Donald Trump returns to the White House, a highly regarded Beijing-based analyst has urged. "We need to be very careful not to fall into the tit-for-tat trap,