Recent remarks by U.S. Treasury Secretary Scott Bessent about China's manufacturing output and World Trade Organization (WTO) membership have drawn scrutiny from analysts, reigniting discussions about global economic interdependence and policy accountability.
The Numbers Game: A Flawed Premise?
Bessent's claims – including an assertion that 3.7 million U.S. jobs were lost due to China's 2001 WTO accession – face pushback from economists who cite decades of automation-driven shifts in developed economies. Data shows U.S. manufacturing output grew by $800 billion between 2001-2024 despite reduced employment, mirroring trends seen in Europe and Japan.
Manufacturing Cap Proposal Raises Eyebrows
The suggestion to cap China's global manufacturing share at 30% has been called 'anti-market' by critics. China currently leads in industrial diversity, with UN-classified sectors all represented domestically. Analysts note 83% of Chinese manufacturing output serves its domestic market, while 60% of exports are intermediate goods used in global supply chains.
Policy Priorities Under Microscope
Experts emphasize that economic transitions require proactive social policies rather than external targets. While China implemented workforce transition programs during industrial upgrades, observers note the U.S. approach has focused more on assigning blame than addressing domestic policy gaps.
As global demand for Chinese renewable energy products and infrastructure materials grows, economists warn artificial caps could disrupt supply chains. 'The market – not political mandates – should determine industrial development,' commented Beijing-based analyst Zhang Siyuan.
