🧠 Technology & AI risk-off · 3–10 years
A what‑if from the future

What if Chinese EV exports strand Western ICE producers and trigger tariff retaliation?

China's low-cost EV export surge strands Western ICE producers and triggers tariff retaliation, compounding transition risk with trade fragmentation in the auto complex.

12%
our model probability
over 3–10 years
prediction markets — wisdom of the crowd
loading live odds…
Empirically anchored 12% · 90% range 3–21% · 40 analogues · measured class tech_ai_bull 94% in 10 yr · 3% held back for the unknown
how we built this number — every step
Measured class rate — tech_ai_bull ≈0.2842/yr → 94% in 10 yr94%
Analyst prior · editorial share 7% of the class7%
Pooled · weight 87%13%
Crowd — no liquid market
Reserve 3% · no extremizing (×1.0)13%
Published12%

The class rate is measured from our dated, sourced event library (decade-normalized Poisson — the full table is public at base_rates.json). The variant’s share within its class is the analyst’s editorial call, published so you can audit it. A wider range means thinner precedent. Full recipe: methodology · scored at Reality Check.

The butterfly cascade

How this trigger trickles across markets, left → right — the root shock, its first‑order moves, then the ripple effects. Drag any node; tap a market for its real price history.

Resolution timeline — how this probability is moving

Our model's odds (gold) over time vs the crowd's (Polymarket, blue), from the past toward the 3–10 years horizon. Each dot is a real macro event that nudged the probability — green pushed it up, red pushed it down. Tap a dot for the source. The gold path is an illustrative reconstruction anchored to today's estimate — real dated events, not a live re-estimate history.

loading the timeline…

What it would mean

If this plays out, it is a risk-off shock. China's low-cost EV export surge strands Western ICE producers and triggers tariff retaliation, compounding transition risk with trade fragmentation in the auto complex. The trigger decomposes into signed root‑shocks — Job displacement ▲ · Climate/crop supply ▲ · Credit spreads ▲ · Trade tension ▲ — which propagate through our causal graph to the markets below.

If it happens — the markets it would move

Biggest moves first. Projected moves are cascade-model priors; hist A–B% = what comparable past events actually did (measured abnormal returns), and model prior · unmeasured marks markets with no analogue backing yet. Tap any market for its price history.

MarketClassProjected move
1Nasdaq 100 NDXon Hyperliquid 📈 chartIndex▼ -1.7%
hist -1.09–-0.2% · other way +0.15% (n=11)
2Semiconductors SMHon Hyperliquid 📈 chartEquity▼ -1.4%
hist -0.98–+0.1% · other way +1.59% (n=11)
3Nvidia NVDAon Hyperliquid 📈 chartEquity▼ -1.3%
hist -1.61–+1.49% · other way +0.15% (n=11)
4TSMC TSMon Hyperliquid 📈 chartEquity▼ -1.2%
hist -1.43–-0.08% · other way +1.14% (n=11)
5Tech sector XLK 📈 chartEquity▼ -1.1%
hist -0.79–+0.09% · other way +0.23% (n=11)
6Alibaba BABAon Hyperliquid 📈 chartEquity▼ -0.9%
hist -1.24–+2.08% · other way -5.11% (n=9)
7AMD AMDon Hyperliquid 📈 chartEquity▼ -1.0%
hist -1.3–+1.25% · other way -3.44% (n=11)
8Broadcom AVGOon Hyperliquid 📈 chartEquity▼ -1.0%
hist -1.1–+1.19% · other way +3.82% (n=11)
9Micron MUon Hyperliquid 📈 chartEquity▼ -1.0%
hist -1.89–+0.29% · other way -0.46% (n=11)
10Marvell MRVLon Hyperliquid 📈 chartEquity▼ -1.0%
hist -1.21–+1.03% · other way +2.18% (n=11)
11ASML ASMLon Hyperliquid 📈 chartEquity▼ -0.9%
hist -2.71–+0.56% · other way -3.23% (n=11)
12Chinese yuan CNY 📈 chartFX▼ -0.7%
hist -0.7–-0.12% · other way -0.65% (n=11)
13MicroStrategy MSTRon Hyperliquid 📈 chartEquity▼ -0.7%
hist -3.63–+1.02% · other way +17.24% (n=11)
14Qualcomm QCOMon Hyperliquid 📈 chartEquity▼ -0.6%
hist -3.1–+0.81% · other way -1.89% (n=11)

Probable recommendation

If the scenario above plays out, the probable cross‑asset positioning → a scenario‑conditional read, not personalized investment advice
Cash / hedgeRaise cash and hold the long hedges above; this scenario is net risk-off.
For a common-man portfolio: A typical stock-heavy portfolio is at risk. Consider trimming equities, raising cash, and a small cash hedge.
Also moves (not yet on Hyperliquid): Tech sector -1.1% · Chinese yuan -0.7% · High-yield credit -0.4% · Aussie dollar -0.3% · Freeport (copper) -0.3% · Financials -0.2%

Historical precedent — what analogous events actually did

Across 40 analogous events (overlap‑weighted), as abnormal returns — market beta stripped, so it's the event's own effect, not the market backdrop. Shown at 20 days (persistent) and 5 days (immediate); ↺ fades = the two horizons disagree. Confidence = consistency × sample × significance.

Gold tops $3,000 for the first time amid tariff and rate-cut fears 2025-03 Chernobyl disaster 1986-04 Gold tops $4,000 and silver spikes past $50 in historic squeeze 2025-10 Trump's 50% copper tariff sends Comex copper to a record 2025-07 China retaliates to Liberation Day: 34% tariffs + rare-earth controls 2025-04 TSMC slumps as DeepSeek roils AI-chip demand assumptions 2025-02 Gold tops $2,500 for the first time on Fed rate-cut bets 2024-08 Megacap AI-capex doubt selloff 2024-07 India slashes gold import duty from 15% to 6% in 2024 budget 2024-07 Nvidia AI-guidance blowout ignites the automation/AI capex wave 2023-05 First Republic Bank seized and sold to JPMorgan 2023-05 Regional-bank panic deepens after Signature seizure 2023-03 Kaisa Group offshore default 2021-12 Gold closes above $2,000/oz for the first time 2020-08 Chinese yuan breaks 7 per dollar; US names China manipulator 2019-08 IPBES warns ~1 million species face extinction 2019-05 China retaliates: $50B tariff list incl. soybeans 2018-04 North Korea sixth nuclear test 2017-09 North Korea 'fire and fury' nuclear scare 2017-08 Mexican peso crash on Trump 2016 win 2016-11 HYG record outflows in 2014 high-yield rout 2014-10 Mt. Gox collapse 2014-02 Mt. Gox halts withdrawals 2014-02 Gold futures velocity-logic flash crash 2014-01 Cyprus deposit bail-in 2013-03 Spain requests EUR100bn bank bailout 2012-06 Bankia nationalised in Spain's banking crisis 2012-05 Gold all-time peak of $1,921/oz 2011-09 Portugal requests EU-IMF bailout 2011-04 Egyptian revolution / Mubarak uprising 2011-01 Greece first EU/IMF bailout 2010-05 Greece requests EU/IMF bailout 2010-04 Anglo Irish Bank nationalisation 2009-01 Fannie Mae and Freddie Mac conservatorship 2008-09 IndyMac Bank seized by the Office of Thrift Supervision 2008-07 2008 global rice / food price crisis peak 2008-04 2008 global rice crisis: Thai benchmark tops $1,000/ton 2008-04 Northern Rock bank run 2007-09 American Home Mortgage bankruptcy 2007-08 Bear Stearns freezes redemptions on subprime hedge funds 2007-06
AssetHistory saysAbnormal (20d · 5d)HitnConfidencevs cascade
XCU XCUSHORT-3.5% · 5d -1.2%75%39 0.44✓ matches cascade
FCX FCXSHORT-3.6% · 5d -1.5%67%39 0.29✓ matches cascade
KRW KRWSHORT-1.3% · 5d -0.1%63%39 0.26✓ matches cascade
SOL SOLSHORT-7.8% · 5d -7.2%67%13 0.24✓ matches cascade
Bitcoin BTCSHORT-1.4% · 5d -1.3%63%20 0.23✓ matches cascade
COIN COINSHORT-9.9% · 5d +0.8% ↺ fades64%12 0.22✓ matches cascade
KWEB KWEBSHORT-1.9% · 5d -1.4%62%23 0.19✓ matches cascade
BABA BABALONG+2.4% · 5d -2.5% ↺ fades59%20 0.16⚠ differs
XLF XLFSHORT-0.4% · 5d -0.6%58%39 0.15✓ matches cascade
QCOM QCOMSHORT-2.6% · 5d -2.5%59%39 0.14✓ matches cascade
High-yield credit HYGSHORT-0.3% · 5d -0.0%58%39 0.13✓ matches cascade
ASML ASMLSHORT-2.1% · 5d -2.5%58%39 0.12✓ matches cascade
MSTR MSTRSHORT-3.0% · 5d -2.4%58%39 0.12✓ matches cascade
INTC INTCSHORT-1.9% · 5d -2.0%56%40 0.11✓ matches cascade

Methodology. Probability and impact are anchored to history and scored against what actually happens — wins and losses, in public, at Reality Check. Crowd odds live from Polymarket & Kalshi. By Vikas Singh, Quantitative Strategist. Updated 2026-07-03.