#USChinaTensions

China’s Commerce Ministry warning shows Beijing’s resolve to block major US led trade deals that would sideline its interests.

It follows reports Washington may grant tariff exemptions to countries that curb Chinese trade a move Beijing deems coercive.

China denounced US “reciprocity” as unilateral bullying and vowed reciprocal countermeasures against any appeaser.

Partners like Japan and Indonesia juggle US market access with the threat of Beijing’s reprisals.

Economies in Southeast Asia, vital to both powers’ supply chains, are caught in this escalating geopolitical tug of war.

Global markets have wavered amid conflicting signals on exemptions and retaliation, fuelling global volatility.

Analysts warn the tit for tat may fragment value chains, raising costs for electronics, autos, and minerals.

The WTO now forecasts a steep drop in Sino‑US trade, highlighting the dangers of decoupling.

Consumers worldwide could face higher import bills and eroded confidence, while investors brace for turbulence.

Yet UN forums and ASEAN‑led dialogues could forge diplomatic paths that temper tariffs with talks.