overcapacity

[ oh-ver-kuh-pas-i-tee ]

noun

, plural o·ver·ca·pac·i·ties.

1. capacity beyond what is normal, allowed, or desirable.

overcapacity

/ ˌəʊvəkəˈpæsɪtɪ /

noun

1. the situation in which an industry or business cannot sell as much as it produces

Word History and Origins

Origin of overcapacity¹

First recorded in 1925–30; over- + capacity

Example Sentences

“China’s overcapacity will increase, there is not doubt about it. They have no other source of growth,” said Alicia Garcia-Herrero, chief economist for the Asia Pacific region at investment bank Natixis.

From BBC

The association accused the European pork industry of benefiting from inappropriate government subsidies as it suffered from overcapacity — the same accusations that European and American officials have leveled against China’s car industry.

From New York Times

The U.S. position has been that Chinese overcapacity is an issue not just for the U.S. but also for other G7 and developing countries.

From Seattle Times

They agreed to monitor the negative effects of China’s overcapacity and “consider taking steps to ensure a level playing field.”

From New York Times

“We can’t let China’s EV overcapacity problem turn into a U.S. auto industry problem,” he said.

From Seattle Times