China faces more scrutiny from the West over its aggressive export practices — overcapacity and huge subsidies.
Chinese firms can often undercut their Western counterparts for many reasons, including cheaper labor and economies of scale. But they also benefit from very generous state incentives, which help to make foreign rivals uncompetitive.
European Competition Commissioner Margrethe Vestager described China's playbook for dominating green-energy sectors during a speech at Princeton University this week. Noting how China first attracts foreign investment through joint ventures, she said the country was "not always above board" in the way it acquired green technological know-how. China then closed its own market to foreign firms before exporting excess capacity to the rest of the world at low, subsidized prices, she says.
"We should prepared to play hardball with China," says Rolf Langhammer, former vice president of the Kiel Institute for the World Economy (IfW-Kiel).. "For electric cars and green technology, the US and EU are the most important foreign markets, and the Chinese need access."
Marx believed that wealth was generated by the labor of the working class, but the capitalist system perpetuated inequality and exploitation.. basically capitalists are realizing capitalism didn't work. Marx said it at least a century before.
And what they will do, the obvious.. keep pushing even harder their agenda.
@Dieguito @PoliticallyIncorrect
One can easily infer from your comments that you didn't even click the link. It really helps to read an article before commenting.
Addition:
Modern slavery in China
You don't need to read the article to know the capitalist "solution" for the growth and exportation of Chinese products like EVs or something else consists into implementing higher punishment tariffs, just a way to keep the capitalist boat a float while they play in the intelligence field the real war.
The main question it's if the massive propaganda social media system can effectively gaslight the population from realizing the failure of the capitalist economic system.
Edit: I think it depends in what it's actually the definition of modern slavery cos if you ask me in the west capitalist systems there are 99% of the population into modern slavery.
Are you seriously trying to redefine slavery just to defend a murderous dictatorship?
As you don't like reading, watch a documentary.
Forced Labour - SOS from a Chinese Prisoner
@PoliticallyIncorrect
It would be helpful if you posted a source for that claim. Where did you get that?
For China, I have one regarding North Korean workers in Chinese seafood processing.
You'd find a lot more.
2010: Foxconn Installs Antijumping Nets at Hebei Plants
Forced labor in China was a feature, not a bug.
Denouncing it after knowingly benefitting for decades, is a bit disingenuous.
🤖 I'm a bot that provides automatic summaries for articles: ::: spoiler Click here to see the summary United States Treasury Secretary Janet Yellen warned China last weekend against overproducing clean-energy products such as solar panels, wind turbines and electric vehicles (EVs) in the race to slow climate change.
In addition to the huge subsidies, the report's authors noted, Chinese producers also benefit from preferential access to critical raw materials, forced technological transfers and less domestic red tape than their foreign competitors.
"US and European nervousness is coming at a time when electric vehicle demand [in the West] has faltered a bit," Brad W. Setser, a senior fellow at the Council on Foreign Relations, told DW.
German automakers have a quarter of their foreign direct investment in China and also benefit from Chinese subsidies and they fear retaliation," Langhammer said, referring to possible tit-for-tat measures Beijing may levy in the event of higher EU tariffs.
Washington is concerned that Chinese firms will use loopholes in US trade deals with Mexico and Canada to circumvent higher import tariffs by producing Chinese-branded EVs in the two neighboring countries.
Though EU countries installed record levels of solar capacity last year — 40% more than in 2022 — the vast majority of panels and parts came from China, according to data from the International Energy Agency.
Saved 81% of original text. :::