Woke up to see China's countermeasures ramping up again. Although this time it’s not as direct as the tariff showdown back in April, the scope of rare earth controls is expanding. Plus, the wording from the Ministry of Commerce has escalated from the previous 'lawful management' to 'safeguarding national security and opposing U.S. abuse of sanctions,' which means rare earths have shifted from being an industrial policy tool to a diplomatic countermeasure. And it’s not just about rare earths. This afternoon, the Ministry of Commerce announced new sanctions targeting Hanwha Ocean Co., Ltd. While the company itself is Korean, the announcement specifically highlighted its U.S.-related subsidiaries. In other words, although the countermeasure targets a Korean company, the real focus is on the U.S.—this is a critical move. The announcement used phrases like 'assisting and supporting U.S. government-related investigative activities, harming China's sovereignty, security, and development interests,' indicating that this countermeasure isn’t just a simple economic sanction. It positions Hanwha as an 'agent involved in the U.S. sanctions system, aiding hostile actions.' This effectively expands China’s countermeasure framework to include third-country companies cooperating with U.S. sanctions, marking the first time the Anti-Foreign Sanctions Law has been extended to the maritime chain and overseas subsidiaries. From this moment on, China’s countermeasure strategy is no longer limited to technical export restrictions or tariff reciprocity—it’s entering the stage of ecological sanctions. Initially, it seemed like Sunday and Monday’s updates were all there was, and China’s countermeasures weren’t overly aggressive. The market even saw the possibility of TACO. But now, it’s clear this isn’t over yet. Tonight, we’ll need to keep an eye on whether Trump has any further responses. Sponsored by Bitget ｜ @Bitget_zh