On one hand, I am very relieved that this hasn't burned out into a war between China and the US. On the other hand, this response couldn't help but feel anemic. I mean sure, China could sanction Pelosi's entire family and perhaps even Taiwan, but that seems like a very light response to this very serious attempt by a high-ranking US official to try to further legitimize Taiwan whilst also stirring up discontentment at home. I can't really understand what the intentions of the PRC and Xi is in this scenario though, especially since they surely must know that a not insignificant part of the Chinese population are calling for blood over this.
Unless China does something really serious and drastic in the coming days, like denouncing their no-first-use policy or publicly orders the doubling of their military expenditure, I don't see how well this will play well to the domestic public or to international policy makers.