China has to keep the Hong Kong dollar in lock step with the US Dollar or it violates at least some, probably most, contracts with non-US buyers to some unpleasant extent. Then there is the question of whether the Hong Kong dollar will stay a trusted currency. The Politboro shot themselves in the foot. With a lot of dual Hong Kong/Canada citizenship cases ready to leave Hong Kong before it goes completely in the tank. The cause of this last problem is the extradition treaty with the mainland. That little jewel repeals at least some civil rights the Hong Kong population thought were carved in stone. Beijing is flirting with tanking Hong Kong and that's dumber than being a TDS case. Dumping US treasuries will hurt China more than the US because of the Hong Kong/US dollar link. The Chicoms won the last change of dynasty because of stupid stunts like this by the nationalists. It will take inflation in the double or even triple digits to stave off civil war if playing with the Hong Kong dollar causes a major crunch. I have no idea how China will stay solvent if another round of tariffs hit. Any ideas?