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China’s Xi urges ‘orderly exit’ of outdated production capacity

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Regulators say the aggressive price cuts are spurring excessive competition that is damaging the economy.

BEIJING: Chinese President Xi Jinping has called for the “orderly exit” of outdated production capacity and the curbing of “disorderly” price competition, state-run news agency Xinhua reported today, citing an article written by Xi.

China’s leaders have pledged to put an end to aggressive price cuts by some Chinese companies, which regulators say are spurring excessive competition that is damaging the economy.

“This is a severely affected area of ‘involution’ and must be effectively managed in accordance with laws and regulations,” Xinhua quoted Xi as saying in the article to be published by Qiushi Journal, a flagship party magazine.

Tags:BusinessChinacompaniescompetitiongovernmentinvolutionPresident Xi Jinpingprice competitionprice cutsproduction


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