Beijing’s trade ‘coercion’ could mark it as a threat to stability and prompt economic partners to diversify, analysts warn.

When it deemed remarks on Taiwan by Japan’s new prime minister as provocative, China did not just issue a diplomatic rebuke to Tokyo; it deployed an economic arsenal, and what began as a bilateral spat has since spiralled into a full-blown crisis. China last week warned its citizens to avoid travel to Japan, with major Chinese airlines offering full refunds for flights there. On Wednesday, Beijing said it would suspend Japanese seafood imports. It is not the first time China has wielded its…

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