The Chinese government’s muted reaction to Donald Trump’s victory in the US presidential election belied a result that threatens to upend decades-old policy certainties in the region, with far-reaching consequences for the world’s second-largest economy.  As the election result was confirmed on Wednesday afternoon in Beijing, a foreign ministry spokesperson said only that “we are following the election and will work with the new US president to ensure steady and sound development of bilateral relations”.

While president and Communist party general secretary Xi Jinping later called the US president-elect to congratulate him, Sino-US relations could undergo a sea change if Mr Trump follows through on his most bellicose rhetoric.  Mr Trump has threatened Beijing with trade and currency wars. Conversely, he has suggested that the US could scale back its military presence in South Korea and Japan, handing Mr Xi a geopolitical gift by weakening the “first island chain” that Chinese strategists say restrains their military’s ability to project power across the region.  But at least one important Trump policy adviser has also promised a much tougher response to Chinese efforts to secure its vast territorial claims, especially in the South China Sea.

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