U.S. Treasury Secretary Warns Against Subsidized Chinese Imports Decimating American Industries

Janet Yellen Warns Against Subsidized Chinese Imports

On May 31, 2022, U.S. Treasury Secretary Janet Yellen issued a strong warning against the impact of subsidized Chinese imports on American industries.

American Interests at Stake

After concluding a series of discussions with Chinese officials, Yellen emphasized that the talks had successfully advanced American interests. She specifically highlighted concerns about China's overinvestment in industries like electric vehicles, batteries, and solar products, which are heavily supported by the Chinese government.

Repercussions of Past Actions

Yellen referenced the devastating impact of below-cost Chinese steel flooding the global market over a decade ago, drawing attention to the substantial harm it caused to industries worldwide, including in the United States. She made it clear that the current U.S. administration would not tolerate a similar scenario.

Threat to Foreign Firms

The Treasury Secretary stressed that the influx of artificially cheap Chinese products into the global market posed a significant threat to the viability of American and other foreign firms.

Yellen's warnings underscore the U.S. government's firm stance on protecting domestic industries from unfair trade practices, particularly those involving significant government support to foreign competitors.