I mean considering their other major market is Europe and they can't just dump everything there (prices would be devastated for producers and the Europeans would be annoyed) it does put China in a position that isn't that positive. The European market can't just absorb the production and consumption habits of 300 million people or even 1/6th of that without a major impact to both China and the EU.

More importantly it puts the power back in the hands of major importers and American companies like Amazon or say some companies like Digi-Key or other US based electronics parts wholesalers who charge more for components (and have high order minimums) than buying them on a Chinese site or ebay from China and makes them more profit while ensuring slimmer margins for Chinese producers who previously by selling direct could take a portion of the difference in cost and pocket it as profits while still beating local warehouse pricing.

This is violent stuff but it's also the kind of thing you'd be doing if you are determined to war with, decouple, and blockade China within say the next decade. If people already have accepted a lower quality of life, already don't see things as coming from China but "Amazon" and increasingly cannot afford them already then the blow-back to a war with China will be much lessened and result in a collective consumer shrug because they were already pushed out, priced out, etc by these prior moves. It doesn't hurt big capital to do this, it fucks petit boug and in fact pushes them into a material condition more conducive to supporting fascism/naked reaction as their own class position is eroded or removed and they're re-proletarianized against their will and wish to claw their way back with fascism. They'll be much more on-board with enslaving Americans with mental illness, with enslaving the homeless, etc in special camps to produce goods or whatever the promise may be if there is even a chance it gives them the chance to get back on top again.