Asia equities drop as revived U.S.–China trade war rattles risk

Chinese and Hong Kong benchmarks slid, dragging broader Asia lower, after renewed U.S. tariff threats and tightening Chinese export controls revived trade-war fears. The CSI300 fell about 1.8% and Shanghai Composite lost 1.3%, while Hong Kong’s Hang Seng dropped roughly 3.5%. Defensive bids emerged in rare earths and semiconductors on expectations of policy support. Currency moves were contained by guidance and intervention. Investors remain wary despite strong Chinese trade data and will watch any signs of imminent de-escalation.