As rising global tensions morph into rising trade barriers, investors need a clearer picture than ever of just what’s driving overcapacity in Chinese industry.

This new analysis from Capital Economics’ award-winning China team provides a unique view of the underlying causes of this new threat to global trade, highlighting the crucial analysis missing from Washington’s accusations and Beijing’s denials about the flood of exports of cheap autos from China. In this report, you’ll learn:

• The real reasons why Chinese auto exports have gone into overdrive;

• What close analysis of Chinese auto production, domestic sales and exports shows about the overcapacity controversy;

• What China’s government will – and won’t – do to address its economic imbalances.