Sanctions against Russia following its invasion of Ukraine raise the question of whether similar measures might be implemented against China in the event of a crisis scenario between the US and China. However, the significant differences between the size of China’s and Russia’s economies and the degree of their integration with global markets suggest that sanctions against Russia do not provide a model for China. In the event of a crisis, the US and China will instead likely engage in targeted, asymmetrical economic countermeasures tailored to the unique characteristics of the US-China relationship. This would continue an observable trend from economic countermeasures already implemented during the escalating US-China competition.
This legal update explores the likely economic countermeasures that the US and China will implement should a crisis erupt and the extent to which Western energy sanctions against Russia lend meaningful precedent for potential economic measures against China. In addition, this legal update provides an overview of US-China economic countermeasures that have already been implemented.