Yellen Warns of Sanctions, Discusses Tariffs and U.S.-China Economic Relations in Beijing

During a four-day visit to China, U.S. Treasury Secretary Janet Yellen addressed concerns over China's industrial overcapacity, particularly in clean energy goods, and its implications for global markets and U.S. industries. Yellen's discussions with Chinese officials in Guangzhou and Beijing emphasized the need for China to adjust its economic strategies, including reducing factory capacity for clean energy products. She also highlighted the importance of bilateral economic relations and cooperation on global challenges, stating that the U.S. does not seek to decouple from China. Additionally, Yellen warned of potential sanctions against Chinese banks and companies, as well as Beijing's leadership, if they support Russia's military actions in Ukraine. Yellen's stance on not ruling out tariffs on China's green exports and her emphasis on the value of trade between the U.S. and China were key points of her visit, which aimed to address economic frictions and advocate for American industries while maintaining the critical economic relationship between the U.S. and China.