Facing these trade barriers, Chen Ian Tsung-yen, professor and director of the Institute of Political Science at National Sun Yat-sen University in Taiwan, noted that many Chinese brands like Chinese EV maker BYD attempt to disguise themselves as Western brands in foreign markets, which may temporarily ease international concerns about Chinese overcapacity.
Chen Ian emphasized, however, that the overcapacity problem persists as a serious internal threat to China's economy.
“Chinese overcapacity may not significantly harm the global economy, but it creates major domestic problems. Dealing with huge unsold inventories leaves little room for innovation or industrial upgrading,” he told The Epoch Times.
Chen Ian Tsung-yen, however, offered a contrasting view, arguing that the recent military purge indicates Xi is consolidating his control over foreign and cross-strait policy—a development he stressed could be detrimental to stability in the Taiwan Strait.
That purge has already seen nine generals publicly expelled from the Party, marking the military's most significant disciplinary action in decades.
“When this kind of defense power is concentrated in one person's hands, and you see his insistence on unification growing stronger, that's definitely not good news for Taiwan,” Chen Ian said.