China Overproducing Lithium to Eliminate Rivals: US Official

‘They engage in predatory pricing,’ the Department of State official said. ‘[They] lower the price until competition disappears. That is what is happening.’

This photo taken on March 12, 2021 shows workers at a factory for Xinwangda Electric Vehicle Battery Co. Ltd, which makes lithium batteries for electric cars and other uses, in Nanjing in China's eastern Jiangsu province. - China OUT (Photo by AFP) / China OUT Photo by STR/AFP via Getty Images

Jose Fernandez, U.S. undersecretary of state for economic growth, energy, and the environment, told reporters in Portugal on Oct. 8 that the Chinese regime is using its oversupply of lithium to price out global rivals.

“They engage in predatory pricing,” Fernandez said. “[They] lower the price until competition disappears. That is what is happening.”