Trump Condemns Chinese Factories. China Is Already Closing Some.
“I just hope this factory can operate again.”
Officials in Washington say that China has too many steel and aluminum factories — and many Chinese officials agree.
President Trump imposed steep new tariffs on steel and aluminum imports last week, amid complaints from American companies
that the Chinese government props up too many wasteful factories.
Even as China makes veiled threats to retaliate against the United States, it is forcing many Chinese
companies to close wasteful, polluting factories to fix its economy and clean up its skies.
China produces more than half of the world’s steel and aluminum
but exports only small amounts to the United States, thanks to strong demand at home, existing American tariffs and other reasons.
The two factories, in Chengkouzhen and Zouping, show how Chinese officials will help some factories even as they allow others to close.
Still, China contends that it is addressing its wasteful factory problem and that American tariffs are unnecessary.
But here in the small Chinese town of Chengkouzhen, officials last year let the factory go idle.
They worry that the American tariffs will end up hitting the business, or that the government may decide to let the factory close after all.
Even before the tariffs, China’s vast steel exports to the rest of the world were falling,
stemmed by Beijing’s efforts to shrink the industry as well as by improved demand at home.