U.S. Treasury Secretary Janet Yellen stated on Thursday that the G7 finance ministers will discuss their concerns over China's excess industrial capacity and potential countermeasures. She added that if Beijing does not change its policies, their economies will face a flood of cheap Chinese goods.
Speaking at a press conference prior to the G7 finance ministers' meeting in Stresa, Italy, Yellen said, "This week will be a critical opportunity to discuss how China's macroeconomic imbalances and industrial surpluses impact our economies."
"We will also discuss our countermeasures and how we directly present these concerns to China."
Earlier this week, Yellen called on the U.S. and Europe to respond in a "strategic and united manner" to China's excessive investments in key sectors such as electric vehicles, solar products, semiconductors, and steel, to maintain the competitiveness of manufacturers on both sides of the Atlantic.
