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SHANGHAI: China stocks fell on Monday, dragged down by financials, due to worries over heightened Sino-US tensions, although upbeat trade data narrowed losses. The blue-chip CSI300 index fell 0.9%, to 5,022.24, while the Shanghai Composite Index declined 0.8% to 3,416.60.

The tech-heavy start-up board ChiNext slipped 0.2%, while STAR50 index added 0.1%. Falling the most, the CSI300 banks index dropped 2.2%, while the CSI300 financials index slid 2%. The United States is preparing to impose sanctions on at least a dozen Chinese officials over their alleged role in Beijing's disqualification of elected opposition legislators in Hong Kong, according to three sources, including a US official, familiar with the matter.

The news came after the United States on Thursday added China's top chipmaker, SMIC, and oil giant CNOOC to a blacklist of alleged Chinese military companies. China's senior diplomat Wang Yi said on Monday he hoped and believed that US policy on China could eventually "return to objectivity and rationality".

Losses were contained after customs data showed that China's exports in November rose 21.1% from a year earlier, after 11.4% growth in October, while imports grew 4.5% last month from a 4.7% expansion in October.

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