I dunno why people focus so much on China holding 800B of US debt. Percentage wise is only 10% at most.
If China really ditch 800B the yield goes up but the price goes down. So they kill themselves in the process and will be lucky to get back 500B eventually.
So what if 600B bond is due in June? China isn't the only country holding them when it is due. Of course if demand is lacking yield has to go up but when it goes high enough buyers will bite. You think Japan UK and the rest of the European nations will conspire to screw US? Remember Russia in their backyard? Remember how Trump is pushing to withdraw military from Europe Japan Korea etc?
I will be surprised if they are not already negotiating which country to take up China's share as and when the bonds fall due... US can outright stop selling to China even if they want to buy.
China will be caught with having to float the yuan coupled with a cheap US dollar at the same time.... There are so many more scenarios that China will be in deep **** but hey what do I know..... I'm just a kaypoh bored armchair uncle .