Sydney — Asian shares broke support and caved to a four-month low on Thursday, as concerns grew that the China-US trade conflict was fast morphing into a prolonged technology cold war between the world’s two largest economies. Late on Wednesday, Reuters reported that the US administration was considering Huawei-like sanctions on Chinese video surveillance firm Hikvision over the country’s treatment of its Uighur Muslim minority, according to a person briefed on the matter. After the US placed Huawei Technologies on a trade blacklist last week, British chip designer ARM has halted relations with Huawei in order to comply with the blockade. Digging the knife in, the US military said it sent two Navy ships through the Taiwan Strait on Wednesday. “Both the US and China appear to be preparing for a prolonged period of trade conflict,” wrote analysts at Nomura in a note on the standoff. “We think domestic pressures and constraints will drive both sides towards further escalation,” they wa...
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