Ep 77 - There’s no such thing as overcapacity, China says

About this episode

Beijing just released its most detailed rebuttal yet to accusations from the West around industrial overcapacity – and it pointedly avoided using the very word that started the fight in the first place. • There’s a reason for that, and we break it all down in today’s podcast. On this episode, Andrew Polk sits down with Dinny McMahon (Head of Markets Research) to unpack: • The five core arguments in MOFCOM’s new position paper on overcapacity, examining which ones hold up and which ones stretch too far • Why Beijing dropped the word “overcapacity” for “involution” 18 months ago, and what that rhetorical swap is designed to do • How China frames itself as both free trade’s champion and its victim, and why that framing leaves little room for compromise • Why the US may have the least at stake here economically, and why Europe is where this fight actually gets decided As always, we hope you enjoy the discussion – reach out and let us know any thoughts or feedback.