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Children display American and Chinese flags as part of the official welcome ceremony for President Donald Trump in Beijing on Wednesday. (Alex Wong/Getty Images)

China gains major edge on U.S. due to Iran war, U.S. intelligence finds

 What to know

A confidential U.S. intelligence report reveals China is exploiting the Iran war to gain advantages over the U.S. in military, economic and diplomatic fields, according to two U.S. officials. The report, prepared for Gen. Dan Caine, highlights China's strategic moves amid the conflict, raising concerns about U.S. readiness and geopolitical positioning.

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