China pushes back against Western overcapacity claims in new document
The Commerce Ministry said China never sought a large trade surplus as a U.S. probe of 16 economies could trigger new tariffs.
- On Tuesday, China's Ministry of Commerce released a report rejecting claims of industrial overcapacity, ahead of an anticipated U.S. investigation into 16 economies that could trigger new tariffs.
- Massive capacity in industries like automaking and solar panels has drawn global scrutiny, as slowing domestic demand in China pushed the trade surplus to nearly $1.2 trillion last year.
- Premier Li Qiang argued that recent trends represent a 'China Opportunity 2.0' rather than a 'China shock 2.0,' while the report labeled Western accusations 'totally untenable.'
- Following recent U.S. tariffs of 10% to 12.5% on 60 economies over forced labor enforcement, the U.S. is expected to soon announce findings of its investigation into manufacturing capacity.
- Beijing's stance will likely 'fall on deaf ears,' said Alfredo Montufar-Helu, an expert on China at Ankura, as economic conditions in Western markets make inaction politically untenable.
29 Articles
29 Articles
Beijing Pushes Back on Overcapacity Claims as Trade Frictions Rise
Beijing Pushes Back on Overcapacity Claims as Trade Frictions Rise - In a new policy paper, China’s commerce ministry says temporary mismatches in supply and demand are a normal part of technological change and global specialization
China indicates that its high production capacity is due to competitiveness, innovation, the internal market and investment, accusing some countries of "politicising" the economy.
China released on Tuesday a broad response to accusations that it would be promoting overcapacity, while the United States and the European Union (EU) are preparing new tariffs and other trade restrictions against Chinese imports. Read also: China criticizes US tariffs and reacts to the threat of sanctions against AI companies After all, Trump is winning the tariff war he created? Analysis: Why does the world trust China more than in the US The …
Coverage Details
Bias Distribution
- 39% of the sources lean Left
Factuality
To view factuality data please Upgrade to Premium
