endthematrix: "That's "just" your trade war. China has so much US capital funding that IF (never happen) the screws were set that the China economy would fall flat."
Thanks to its massive trade surpluses, China has plenty of capital. This capital is fueling asset bubbles in Chinese cities instead of productive investments. What the Japanese real estate investors discovered, and what Chinese and US real estate investors are about to discover is that the world is awash in capital - it's new and productive ideas that are scarce. The problem isn't capital - it's the patents and designs embodied in the Chinese and foreign plants that set up in China because they can export to the US. If a bilateral trade embargo is imposed, both Chinese and foreign manufacturers will move a big chunk of their production abroad, devastating China's domestic economy.