U.S. shows typical double standard by hyping "overcapacity" notion

By Tan Xiguang

American politicians have recently fabricated another notion: that China’s "overcapacity" harms the global market.

Some U.S. officials alleged that China utilizes subsidies to bolster its exports of new energy products, leveraging excess manufacturing capacity to impact the global market. This kind of groundless accusation only exposes a typical double standard. The strengths of China's new energy industry are earned by Chinese enterprises and shaped through market competition. In contrast, the U.S. is a major provider of industrial subsidies. It signed the Inflation Reduction Act and the Chip and Science Act in an attempt to promote the development of related industries through substantial subsidies.

By frequently hyping up the notion of so-called "overcapacity," attempting to undermine other countries' advanced industries, and disregarding the principles of market economy and international trade, the U.S. has only revealed its hegemonic mindset. Washington should follow the principles of multilateralism and free trade, and work with other countries to jointly safeguard the stability of the global industrial chain.