What fuels global trade imbalances: China’s overcapacity or America’s failure to adapt?

A prominent Chinese scholar, Huang Yiping, dean of Peking University's National School of Development and an advisor to China's central bank, stated at the World Economic Forum in Dalian that China's industrial overcapacity is not solely to blame for global trade imbalances. He argued that other economies, particularly the United States, are struggling to adapt to global economic shifts and structural adjustments. Huang suggested that the US's complaints about Chinese exports impacting its manufacturing jobs overlook deeper constraints within the American economy in managing trade and globalization. The scholar's comments imply that a broader failure to adjust economically worldwide is exacerbating trade imbalances, rather than just China's overcapacity.