The Washington Post reports, "In a counterattack that further deepens the rift with the United States, China announced Friday that it would establish a blacklist of 'unreliable' foreign companies and organizations, effectively forcing companies around the world to choose whether they would side with Beijing or Washington. Chinese state media reported that the new 'unreliable entities list' would punish organizations and individuals that harm the interests of Chinese companies, without detailing which companies would be named in the list or what the punishments would include. But the implications are far-reaching. Chinese reports suggest that the Commerce Ministry will directly target foreign companies and groups that abandoned Huawei after the Trump administration leveled sanctions this month that prohibited firms from doing business with the Chinese technology giant."
CNBC reports, "President Donald Trump's surprise vow to slap new tariffs on Mexican goods has an unintended consequence: it further undermines the chance of a trade resolution with China. The U.S. is set to impose a 5% tariff on all Mexican imports from June 10, Trump first announced in a Twitter post Thursday night. The move came as a shock as the White House just took a formal step to kick-start approval of the United States-Mexico-Canada Agreement. Trump's 180-degree turn on one of the largest U.S. trading partners is sending a ominous message to the international community that he can't be trusted, Wall Street policy analysts said, adding that China, already skeptical of Trump's reliability, is now less likely to sign a trade deal with him."
CNN reports, "With China-US relations already strained amid an escalating trade war, attention is about to turn to a familiar arena -- the South China Sea. After years of stand-offs and brinkmanship in the hotly contested region, acting US Defense Secretary Patrick Shanahan is expected to unveil the Pentagon's new Indo-Pacific strategy at the Shangri-La Dialogue in Singapore on Saturday. Intriguingly, just one day later Chinese Defense Minister Gen. Wei Fenghe is scheduled to speak about Beijing's role in the Indo-Pacific -- the highest-ranking Chinese official to appear at Asia's premier defense conference in eight years. Their presence is significant. Beijing claims almost the entire 1.3 million square mile South China Sea as its sovereign territory and aggressively asserts its stake, with President Xi Jinping saying it will never give up 'any inch of territory.'"