The proposed U.S. tariffs on Chinese imports would certainly disrupt the internationally sliced-up value chains. It is well-known that large U.S. high-tech corporates and retailers use relatively cheap Chinese labor to assemble their products and gross trade flows analyses may underestimate the disruptive impact, raising tariffs on final and intermediate products that are shipped to the U.S. will crank up domestic prices for U.S. consumers and producers. As such, if these tariffs come through, it would provide another shock to the stock market and hurt producer and consumer confidence.