China has a lot of potentially damaging options if Donald Trump unloads massive tariffs on goods from the country, Stephen Roach said.

The New York Times, in its story, said General Motors (GM), which is the symbol of American industrial might, has suffered a loss of $5 billion as its cars cannot compete with Chinese automakers, which is a revolutionary change because of the fast-paced development of high-quality Chinese vehicles.

Global markets could turn volatile if investors realize there are no winners from a trade war between the two largest economies that is more disruptive than before.