Ministry of Commerce: The U.S. initiating a 301 investigation on the grounds of "overcapacity" is an act of unilateralism

Ministry of Commerce spokesperson responds to the U.S. Trade Representative’s Office’s announcement of initiating a Section 301 investigation against 16 economies, including China, on the grounds of “overcapacity.”
A reporter asked: On March 11, Eastern US time, the U.S. Trade Representative’s Office announced the initiation of a Section 301 investigation against 16 economies, including China, on the grounds of “overcapacity.” What is China’s comment on this?
Answer: China notes that the U.S. side has launched a Section 301 investigation against 16 economies, including China, citing “overcapacity.”
The Section 301 investigation is a typical act of unilateralism, severely damaging the international economic and trade order.
The WTO expert group has long ruled that the tariffs imposed based on the Section 301 investigation violate WTO rules.
Regarding the so-called “overcapacity theory” by the U.S. side, China has repeatedly clarified its position.
The world economy has long become an inseparable whole; production and consumption are global, requiring supply and demand matching and adjustment from a global perspective.
If each country’s production could only meet domestic market demand, there would be no cross-border trade.
The U.S. cannot narrowly define production capacity exceeding domestic demand as “overcapacity” and label it as “surplus.”
The U.S. has no right to unilaterally determine whether there is “overcapacity” among trading partners through a Section 301 investigation and to impose unilateral restrictions.
China notes that the U.S. is again launching a Section 301 investigation against 60 economies, including China, on the grounds of “not banning imports of forced labor products.”
China is conducting analysis and assessment.
China urges the U.S. to correct its wrong practices and return to the correct track of resolving issues through dialogue and consultation.
China will closely monitor the developments and reserves the right to take all necessary measures to firmly defend its legitimate rights and interests.
(Ministry of Commerce)