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China Rallies Energy Giants as Trade Spat With U.S. Heats Up

  • Asia nation plans for worst scenario should tensions persist
  • Top energy buyer has ‘lost trust in the U.S.,’ Jefferies says
Images Of PetroChina Co. Gas Stations Ahead Of Earnings

Photographer: Brent Lewin/Bloomberg

Updated on

China is mobilizing its vast state-run energy industry to prepare for an economic tussle with the U.S. that could escalate further and might last for years.

Top oil executives were busy this week touting the need for energy security, and even discussing the previously far-fetched notion that the nation could be cut off from overseas supplies. The public comments show China is beginning to prepare for the worst scenario in the trade war, said Laban Yu, an analyst at Jefferies Group LLC in Hong Kong.