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In a trade war, China has weapons in its arsenal beyond tariffs

Scott Tong Jul 25, 2018
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Qualcomm CEO Steve Mollenkopf speaks during a press event at the Mandalay Bay Convention Center for the 2014 International CES on January 6, 2014 in Las Vegas, Nevada. CES, the world's largest annual consumer technology trade show, runs from January 7-10 and is expected to feature 3,200 exhibitors showing off their latest products and services to about 150,000 attendees.
Justin Sullivan/Getty Images

The American semiconductor titan Qualcomm found itself in the crosshairs of the US-China trade spat when its mega deal — as in $44 billion dollars — to buy a Dutch chip-maker has cleared every global regulatory approval required — except in China. With no approval from China in sight and a deadline looming at midnight tonight, Qualcomm has announced that pending any new material developments, it will terminate the deal and instead buy back its own stock. This is just one way China can punish American firms doing business there as the tariff war heats up.

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