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The UK strengthens military ties with Australia via Aukus while facing criticism over Hong Kong bounties and warnings against aligning too closely with Trump, highlighting diplomatic tensions and strategic shifts.

Overcapacity: the economic buzzword fuelling Europe’s clash with China

South China Morning PostThursday, June 19, 2025 at 10:00:07 PM
NegativeWorld Affairstrade tensions
Overcapacity: the economic buzzword fuelling Europe’s clash with China
European and US officials recently huddled in Brussels to tackle a wonky economic term—"global non-market overcapacity"—but let’s be real, this was all about China. The EU is worried that China’s massive industrial output is flooding global markets, distorting competition, and hurting European industries. The meeting aimed to brainstorm solutions, but the underlying tension is clear: Europe feels threatened by China’s economic muscle, and this jargon-heavy debate is just the tip of the iceberg.
Editor’s Note: This isn’t just bureaucratic wordplay—it’s a sign of growing friction between Europe and China over trade. If China keeps pumping out cheap goods (think electric vehicles, steel, or solar panels), European industries could struggle to compete. The outcome of these debates could shape future tariffs, trade policies, and even geopolitical alliances. So, while the language might sound dry, the stakes are anything but.
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