U.S. Treasury Secretary Janet Yellen arrived in China and brought with her a tough message for the world’s second-largest economy.
Yellen arrived in Guangzhou on Thursday and started her first-day meeting officials on Friday.
The U.S. treasury senior official brought with her a tough message for a Chinese official where she had planned to relay her concern about China’s overproduction in almost every sector such as electric vehicles (EVs), batteries, solar panels, semiconductors, and other manufactured goods into global markets.
She said this issue could affect other economies such as the U.S., Europe, Japan, Mexico, and other major economies.
A few days before her trip, Yellen called out China’s overproduction in solar energy, electric vehicles, and lithium-ion batteries which she said “distorts global prices” and “hurts American firms.”
The visit will serve as a diplomatic test on how the U.S. official will address such a sensitive economic issue with the world’s second-largest economy.
Yellen will hold a series of meetings with top Chinese economic officials starting this Friday until Monday.
