China Defends Competitive Edge As It Eyes Key Industries For Growth

China denies accusations of flooding global markets with cheap goods from industries like EVs, saying its production system is simply more competitive.

China argues "overcapacity" can happen in any market economy, citing examples in the US and Europe, and supply/demand should be viewed globally.

China sees EVs, batteries, and solar as key industries for development; exports grew 30% in 2023 but are still a small share of total exports.

Analysts argue against fears of overcapacity, noting trade would not exist if every country only produced what it consumed.

Even if the West raises tariffs, analysts predict China will continue to dominate many of these emerging industries.