With the current trade war, China 's economy is really in a bad shape, as reflected in its recent PMI. Business's sentiments and consumer's confidence are falling. With its currency at risk of breaching 7 and more susceptible to international capital flights, China' companies also face mounting debt pressure, especially those with lots of US debts. It would not be surprising that a lot of companies were to close down if the trade war drags on. Perhaps, that is the demonstration of the survival of the fittest. However, China is prepared to fight US for the long term. According to the Chinese press，“对于美方发起的贸易战，中国早就表明态度：不愿打，但也不怕打，必要时不得不打。面对美国的软硬两手，中国也早已给出答案：谈，大门敞开；打，奉陪到底。 The slogan “Want to talk? Let’s talk. Want to fight? Let’s do it. Want to bully us? Dream on!” has also been going viral on Chinese social media. Personally, I am not optimistic that both countries could resolve their differences in the near term. This trade war, is going to escalate into technology war and finally currency war. The country that controls technology is going to reign supremacy. With so many things at stake, it is going to be another cold war. With China and Russia now collaborating to fight against US economically, it is even obvious that it is a long term fight. Benefits or losses, I am not sure yet. What I am sure is that Singapore cannot afford to take sides. Singapore should stay nimble and make the best out of the situation. This is just my humble opinion.