China puts targeted sanctions on the State of California and Pelosi's donor network. They mimic US language of oligarchs and foreign interference repeated ad nauseum by US media and government. They outline her financial interest in Taiwan and abuse of power to become wealthy during her political career. The PR campaign and heavy sanctions work to politically isolate her from allies and neuter her influence, she's left out to pasture to "Spend more time with her grandchildren" shortly after the election where Democrats get obliterated.
The stupid imperialistic gesture finally ends the reign of one of the worst neo-liberal ghouls of a generation and China stays winning.
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They're supposedly holding drills surrounding the island in the next few days, but I don't think that's what you would consider an appropriate military reaction.
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