Trump's trade chief attacks China for driving down prices, vows "coordinated action"

Milwaukee, Wisconsin - The US is pushing for action against excess industrial capacity that drives prices down unfairly, Washington's top trade envoy said on Wednesday, pointing fingers at China in particular.

US Trade Representative Jamieson Greer (r) speaks with White House Chief of Staff Susie Wiles (l) as Chinese President Xi Jinping arrives on September 24. Greer is unhappy with the effects of China's industrialization.
US Trade Representative Jamieson Greer (r) speaks with White House Chief of Staff Susie Wiles (l) as Chinese President Xi Jinping arrives on September 24. Greer is unhappy with the effects of China's industrialization.  © IMAGO/ZUMA Press

The developments came as officials from the Group of 20 (G20) major economies convened in Milwaukee over two days. During the gathering, a group of countries separately agreed on a framework to counter "persistent" excess steel production.

Overcapacity is a criticism often leveled against China, with accusations that it produces more than it consumes, flooding markets. Beijing rejects these claims.

"We're releasing a Milwaukee framework to take coordinated action on steel excess capacity," US Trade Representative Jamieson Greer told reporters on Wednesday.

China's Xi Jinping doubles down on unification with Taiwan after Trump visit
China China's Xi Jinping doubles down on unification with Taiwan after Trump visit

"Every country will do what they think is appropriate. We want to coordinate those measures," Greer added. "The United States has taken robust measures, and it probably makes sense for other countries to do that too."

He did not elaborate on whether he meant for countries to raise trade barriers on Chinese steel in particular.

The framework was released after a meeting of the Global Forum on Steel Excess Capacity. Its 28 members include the European Union, Australia, Japan, and South Korea – but not China.

Asked about his message to partners this week on overcapacity, China's international trade representative Li Chenggang told the AFP on Wednesday that G20 members had yet to discuss the topic.

Besides plans to reduce or eliminate "market-distorting subsidies," members of the steel global forum also agreed to boost data sharing to help identify "suspicious patterns of steel trade," according to the framework.

It added that, if needed, members would also take "trade measures" against countries that overproduce. Such measures could include tariffs.

Cover photo: IMAGO/ZUMA Press

More on China: