The Shanghai Composite edged up 0.02% to close at 3,473, while the Shenzhen Component fell 0.7% to 10,435 on Monday, as Chinese equities struggled for direction amid persistent trade tensions. Investor sentiment was weighed down after US President Donald Trump confirmed that sweeping reciprocal tariffs will take effect on August 1, giving countries without a deal with the US a final three-week window to negotiate. Trump further escalated tensions by threatening an additional 10% tariff on countries aligning with what he called “anti-American policies on BRICS.” On the domestic front, investors remained cautious ahead of key inflation and trade data due this week, which may shed light on the broader economic impact of shifting US-China trade dynamics. Notable laggards included Zhongji Innolight (-3.1%), Victory Giant (-1.4%), and Eoptolink Technology (-1.5%).