Washington (Associated Press) Treasury Secretary Janet Yellen He said China’s “overly concentrated supply chains” threaten American jobs and recent investments aimed at building a U.S. green energy sector, and that the Asian superpower’s trade policies “could seriously undermine our efforts to build a healthy economic relationship.”
In prepared remarks to a crowd of Wall Street and business executives at the Economic Club of New York on Thursday afternoon, Yellen touted the Biden administration’s policies aimed at boosting U.S. economic competitiveness.
She said the U.S. should respond “when foreign subsidies threaten the viability of domestic companies in strategic sectors like green energy.” Of particular concern is that Chinese green energy products could undermine the massive climate-friendly investments made through the Democrats’ Curb Inflation Act, which President Joe Biden signed into law in August 2022.
Yellen’s speech: President Donald Trump Speaking at a Washington business roundtable of more than 200 CEOs, he made the case for why the economy would be better off if he returned to the Oval Office.
Both Biden and his presumptive Republican opponent, Trump, have told voters they will take a tough stance against China.
Last month in the United States imposed huge new tariffs China has decided to raise tariffs on electric vehicles, advanced batteries, solar cells, steel, aluminum, medical equipment, etc. The European Union also decided on Wednesday to raise tariffs, or import taxes, on Chinese products. Electric car Manufactured in China following preliminary results of ongoing investigations Research on EV subsidies in China It shows the country’s battery electric vehicle “value chain” is benefiting from “unfair subsidies” to the detriment of EU rivals.
Chinese companies EV on sale for $12,000China’s solar cell, steel and aluminum factories have enough capacity to meet much of the world’s demand, and Chinese officials argue that production will keep prices down and help the transition to a green economy.
In her speech on Thursday, Yellen pointed to the share of China’s manufacturing companies that are running losses, its high savings rate compared with other OECD countries and restrictive investment policies.
Yellen said, Electric car The report also cites batteries and solar power equipment, areas the U.S. administration is trying to promote domestically, as areas where production has expanded rapidly thanks to Chinese government subsidies.
“President Biden and I reject the notion that ‘decoupling’ would somehow benefit the American economy,” she said. “At the same time, the potential benefits of our economic relationship can only be realized on a level playing field.”
She traveled Guangzhou and Beijing The focus of her trip earlier this year was Industrial Policy and what the US and Europe are calling Chinese manufacturing overcapacity.
