U.S. Challenges China's Industrial Dominance with Tariffs

The United States is poised to use tariffs and other measures to counter China's overproduction of key goods, viewed as a strategy for global market dominance. White House official Daleep Singh emphasized ongoing economic tension and noted China's significant market power, which Washington finds unacceptable.

The United States plans to tackle China's strategy of overproducing goods to dominate global markets by utilizing tariffs, according to White House official Daleep Singh. Speaking on Thursday, Singh highlighted China's significant market power, asserting that Washington considers the economic implications unacceptable.

Relations between Beijing and Washington have been strained for years, with disagreements spanning trade tariffs, human rights, and the origins of COVID-19. Singh pointed out China's overcapacity in sectors like electric vehicles and semiconductors, noting an unprecedented growth in subsidies and strategic positioning to dominate key industries.

Countries worldwide, including Brazil, India, and the EU, are beginning to recognize industrial overcapacity as a significant issue. As China continues to flood markets with surplus production, the U.S. is contemplating more innovative measures beyond tariffs to safeguard its industries and workers from competition.

(With inputs from agencies.)