U.S. Treasury Minister Yellen said she plans to pressure the Chinese government when visiting China, arguing that the latter's expansion of industrial capacity is distorting the global economy.
Bloomberg reported that Yellen mentioned on Wednesday (March 27) preparing for Georgia's visiting activity: "China's overcapacity issues have caused global prices and production models to distort, and harm to global enterprises and workers.We mentioned overcapacity in the previous communication with the Chinese government.
Yellen said that the problem of Chinese industrial policy led to severe excessive investment in steel, aluminum and other products. Although this helps China's own production and employment, it has shrunk the industry in other countries in the world. "
Yellen pointed out in his speech: "Now we see excess capacity of 'new' industries such as solar, electric vehicles and lithium -ion batteries."
As the real estate crisis dragged economic growth, Chinese officials and his deputy have always put the manufacturing industry priority.Solar, lithium batteries and electric vehicles, known as the "new three" of foreign trade, have received special attention, and advanced semiconductor production technology is also the focus of development.
