China's 'Made in China' Problem

[guest]

The downside to Beijing's huge stimulus is a glut of factories and output that may spur trade frictions


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[greenline100]

There is no doubt about it that overcapacity leads to under-valuation and under-valuation leads to loss and unemployment. I think this may cause alarming situations for global steel and cement companies. As we are well aware of the fact that Chine is cheapest producer of steel and cements. China should re-asses its domestic and overseas demand/supply predictions as quick as possible

 

[richardm1964]

The word "Dumping" is mainly used against the export products of China which are produced over and above their consumptions. These products has nothing to do with quality. But huge unplanned stimulus package offered by China has made all these imbalances in production of steel, cements and infrastructure materials.