Exporting Overcapacity: China and Trump Search for Answers

China’s industries facing overcapacity have long exported aggressively into global markets, and are now creating new pressures on China’s trade relations. In the United States, intensified industry-led efforts to stem spillover effects have advanced by pushing the boundaries of established channels for trade remedies. Using new executive actions, the Trump administration has adopted blunter instruments, opening the door to unilateral steps against China. Ultimately, however, the risk of a significant disruption to bilateral trade remains very low.

Posted August 1, 2017
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