[sgbuffett]

Guess how much China A50 Index fell today after Trump Tariffs

Not much maybe it will even go up
Reason is Chjna stimulus package already xompensated for Trump tariffs. The bigger the tariffs againts rest of the world meana China can expand trade.

[sgbuffett]

Now up..later on HSI will also close up once panic selling is over.

Once other countries retaliate against US globally the China companies that are competitors will have advantage 

This chjna substitution of US goods around the world during trade war wilk growth China exports by more than 20%.

[sgbuffett]

When US exports shrink China exports will expand to those countries it is having trade war with.

These include boeing planes now countries will impose tariffs and Airbus will take market share.

Others includes services and software which is big US exports now Indoa and Europe software can expand. Blocking or taxing these will be a good retaliation.

[sgbuffett]

Deepseek answer aboyt this substitution benefit for China

If the U.S. declares a **full-scale trade war** against all other nations (including China), Chinese companies could ** substitute** American firms

### * Where Chinese Companies Could Replace U.S. Firms** 
- **Manufacturing & Electronics**: China already dominates global supply chains (e.g., smartphones, laptops, EVs, solar panels). If U.S. companies lose access to foreign markets, Chinese firms like **Huawei, BYD, Xiaomi, and CATL** could expand. 
- **Infrastructure & Telecom**: **Huawei (5G), CRRC (trains), and Sinomach (construction)** already compete globally. A U.S. trade war could push more countries toward Chinese suppliers. 
- **Green Energy**: China leads in solar panels (LONGi, JinkoSolar), batteries (CATL, BYD), and EVs—key sectors where the U.S. is less dominant. 
- **Cheaper Consumer Goods**: If U.S. tariffs make Western products too expensive, Chinese alternatives (Shein, Temu, Haier, Hisense) could fill gaps in emerging markets.

[sgbuffett]

This global tariffs imposed by Trump is a gift to China.

[sgbuffett]

A50 rising as more investors realise China willl gain from the substitution effect as more countries react to restrict US exports to their countries ....they will end up buying more Chinese products.



Trump turned out to be a goondu to hand China this big win.
I wonder he so stupid he will upend the US dollar.