China warns it will increase the scrutiny of US firms if Trump starts a feud - BBG

Bloomberg quotes sources familiar with the matter, citing, “China is prepared to step up its scrutiny of U.S. companies in the event President-elect Donald Trump takes punitive measures against Chinese goods and triggers a trade war between the world’s two biggest economies after he takes office.”

The sources added that options include antitrust, tax probes of American companies and scaling back government purchases of American products.

Michael Every, head of financial markets research at Rabobank Group, noted, "When you have a country with a large trade deficit that retaliates against a country with a large trade surplus with it, it’s the country with the trade deficit that wins. The country with the surplus loses, every time."