Home News China’s electric technology fosters ‘unfair competition’ – US Treasury

China’s electric technology fosters ‘unfair competition’ – US Treasury

China’s electric technology fosters ‘unfair competition’ – US Treasury

Chinese companies are making too many batteries, solar panels and electric cars, which is hurting American workers, US Treasury Secretary Janet Yellen said. He intends to raise the issue on his trip to Beijing next month.

Yellen spoke Wednesday at a solar cell factory in Georgia that closed in 2017 due to an inability to compete with cheaper imports. Some of its production lines recently reopened due to subsidies provided by the 2022 Inflation Relief Act.

“In the past, in industries such as steel and aluminum, Chinese government support led to significant overinvestment and excess capacity that Chinese firms wanted to export abroad at reduced prices,” Yellen said. “This kept up production and employment in China, but forced industry in the rest of the world to contract.”

America's war against Chinese electric cars has begun

The same is now happening with “green” technology, Yellen argued, which “distorts world prices” and “it hurts American businesses and workers, as well as businesses and workers around the world.”

“These are concerns I hear increasingly from government counterparts in industrialized countries and emerging markets, as well as from the business community around the world,” she added.

Yellen said yes “we are pressing our Chinese counterparts to take the necessary steps to resolve this issue,” during her visit planned for April.

China Could Spark Global Trade War - Bloomberg

According to the Paris-based International Energy Agency, China has become the dominant producer of lithium-ion batteries, accounting for 60% of global electric car sales last year.

Earlier this week, Beijing filed a complaint with the World Trade Organization (WTO) over what it called Washington. “discriminatory” requirements for subsidies for electric cars. In response to the complaint, U.S. Trade Representative Katherine Tai said the subsidies were a “contributing to a clean energy future” while China “continues to use unfair, non-market policies and practices to undermine fair competition.”

You can share this story on social media: