The Chinese government will take “necessary counter-measures” against 10% duties proposed by the U.S. on $200 billion of Chinese exports. That’s part of the exchange of tariff threats started by America’s section 301 review of China’s IP practices. A direct economic response is possible. At first glance China’s options appear limited – exports to the U.S. outnumber imports by 2.6x while $45 billion out of $132 billion of imports have already been targeted for tariffs. Yet, other routes to generate $20 billion (10% duties times $200 billion of products) of retaliation could be followed. D...