"Problem of China's overcapacity" does not exist, says Chinese ambassador

LONDON, May 24 (Xinhua) -- The so-called "problem of China's overcapacity" does not exist either from the perspective of comparative advantage or in light of the global demand, said Chinese Ambassador to the United Kingdom (UK) Zheng Zeguang here on Friday.

"China's electric vehicles and other products are competitive in their pricing not because of subsidies, but thanks to cutting-edge technology, the scale of the sectors, and China's complete industrial system," said Zheng while addressing a roadshow in London for the second China International Supply Chain Expo (CISCE).

The ambassador stressed that China's new energy industry not only increases global supply and alleviates the pressure of global inflation, but also contributes significantly to global climate response and green transition.

China's economy has accumulated more positive factors and continued its upward trend since the beginning of this year, said Zheng, noting that China's gross domestic product (GDP) increased by 5.3 percent and per capita disposable income of residents grew by 6.2 percent in the first quarter.

In his speech, Zheng reiterated China's determination to pursue high-standard opening up to advance in-depth reform and high-quality development.

The second CISCE will be held in Beijing from Nov. 26 to 30 this year. Zheng called on the British business community to actively participate in the event to share China's development opportunities, and jointly create a better future.

"Stable and smooth international industrial and supply chains is an important guarantee for the steady recovery of the world economy and for people of all countries to share the fruits of development," said the ambassador.

China has been making concrete efforts to maintain the stability and safety of international industrial and supply chains, and the attempts for "decoupling" and "severing of industrial and supply chains" from certain countries are not in line with market principles and are morally wrong, Zheng noted.

Talking about this year's general election in Britain, the ambassador said: "I have no interest in making comments on the UK's general election. But no one should think that they can take China as an easy target to score political points."