Question written in by a viewer in Europe today………….
China will not impose economic sanctions on USA, not anyone in fact.
But in the case of an all out economic war, it depends on the duration leading to this all out economic war.
If this develops in a short term, say a few weeks, the shelf of the supermarkets in USA will be empty and there will be riots in the street. You see, most daily essential items are made in China. Without a constant flow of cheap daily items to USA from China, USA will quickly self destruct.
Can USA replace Chinese imports from other sources? That’s question of the leading duration comes in. If USA has carefully planned and source the daily items from elsewhere before hand, it can survive albeit with a rapid rise of inflation. Else, the riots in the streets can become very bloody very soon.
As for China, it may have a few economic slow down, but it will come out stronger than before. Look at the sanctions of space exploration, high performance computer chips, weapons, high strength steel and so on. It is the USA sanctions which forced the Chinese to develop their own. Now China is building its own space station while the International Space Station will be closing down. China has the top two fastest computers in the world, the first one is even using chips designed and manufactured by China itself.
Trade is always a win-win transaction. Trade harms both sides. But in the current situation, USA cannot afford China banning the export to USA. That will be devastating to say the least.
Thank you for clarifying the situation Albert