The Shanghai Composite fell 0.3% to 3,890 on Friday, while the Shenzhen Component rose 0.6% to 14,195, extending a mixed performance for a second straight session as investors awaited China's upcoming trade data release. China posted its second-largest trade surplus on record in June, with both exports and imports reaching all-time highs. However, concerns over Sino-US trade relations persisted after Beijing unveiled retaliatory measures, including stricter controls on drone and related tech exports, sanctions against seven US firms, and a first-ever national security investigation connected to foreign trade. Financial stocks weighed on the market, led lower by Industrial and Commercial Bank of China (-0.9%), Agricultural Bank of China (-0.9%), and China Construction Bank (-1.3%). In contrast, Zhongji Innolight (2.8%), Eoptolink Technology (3.4%), and NAURA Technology (1.1%) advanced. Despite the mixed session, both benchmarks remained on track for weekly gains.