In the world overall nobody actually perceives this as China overplaying its hand, but as a consequence of the US weaponizing trade, and the result all over the world economy will be a shift away from the US with the exception of its core military allies. The shift is already obvious in the Middle East and Africa. France(!) just settled an LNG trade with China in Yuan for the first time[1].
The American behavior is bad for everyone. The US will lose its pretty comfortable position in global trade due to the prominence of the dollar, everyone else is simply hurt by the economic fallout of trade wars.
[1]https://www.nasdaq.com/articles/china-completes-first-yuan-s...