US, China to discuss manufacturing ‘overcapacity' issue, economic growth
US lauds India's policy of ‘forcing’ Russia to sell oil at bigger discounts "Agreed that the US and China will hold intensive exchanges on balanced growth in the domestic and global economies. These exchanges will facilitate a discussion around macroeconomic imbalances, including their connection to overcapacity, and I intend to use this opportunity to advocate for a level playing field for American workers and firms," Yellen said. On Friday, Yellen chided China for “unfair" treatment of American and other foreign companies.
Investors pivot to former favourite China after brief bout with Indian stocks China has pursued “unfair economic practices, including imposing barriers to access for foreign firms and taking coercive actions against American companies," Yellen said. Chinese government subsidies and other policy support have encouraged solar panel and EV makers in China to invest in factories. The massive scale of production has driven down costs and ignited price wars for green technologies.
The West fear that that capacity will flood their markets with low-priced exports, threatening jobs. India must help prevent US-China conflict, says former diplomat Gokhale Last month Beijing accused the US of engaging in “classic protectionism" by seeking to erect barriers to Chinese electric vehicles (EVs) and filed a case with the World Trade Organization over American subsidies for the industry. For Xi Jinping’s team, the Yellen visit marks one of the final chances to shape American policy before November’s US election.
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