What a difference two months makes. Hopes were high in January that U.S. Secretary of State Anthony Blinken’s scheduled travel to China, the first such visit by America’s top diplomat in years, would give a boost to strained ties between the two countries. China’s economy had started to rev up from the end of its ‘zero-Covid’ policies, giving a lift to its stocks and fortunes.
Then, the appearance of a suspected sky balloon over the U.S. heartland, deepening speculation about possible Beijing arms sales to Russia, and the start of high-profile Congressional hearings this month critical of China have changed the tone.
Source : U.S. companies prioritize de-risking their connections with China over decoupling.