I used that stuff in the military, and I can tell you with no uncertainty that tracers will do damage. Perhaps ever so slightly less damage than a ball round, but anything traveling at 2,525–2,900 ft/s (muzzle velocity of the wartime Mk. 8 ammo) is going to do nasty things to humans and light machinery. I have also experienced tracers setting fire to vegetation. I would imagine petrol vapor and tracers would be an interesting combination.
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