At a press conference on July 28, Chinese Vice Commerce Minister Yan Dong addressed the so-called "overcapacity" issue, stating that certain nations have fabricated a "China Squeeze Theory" as a new version of the "China Threat Theory." He emphasized that this narrative is baseless and aims to undermine China's cooperation with Global South countries while shifting historical and real responsibilities. Yan Dong highlighted that China's industrial development brings opportunities, not threats, to the world.

Regarding the debate between "China Shock 2.0" and "China Opportunity 2.0," Yan Dong noted that the former falsely claims China's industrial progress threatens Western monopolies and limits developing nations' growth. In reality, China has contributed approximately 30% to global economic growth over the past decade. Through market advantages, industrial advancements, and technological innovation, China provides "market dividends," "development dividends," and "innovation dividends" to the world. These benefits create more development opportunities, supporting the "China Opportunity 2.0" perspective.

First, China's industries stabilize global supply chains. With the world's largest and most comprehensive manufacturing system, China efficiently supplies industrial goods, offsets supply gaps from protectionism and conflicts, and acts as a stable anchor. For instance, from 2012 to 2024, China exported over $30 billion in textile machinery to developing countries, helping nations in Southeast Asia and South Asia become major textile producers.

Second, China drives global innovation cooperation. Through innovation-led development, China combines technological breakthroughs with industrial upgrades. Its manufacturing capabilities transform innovations into products, serving as a testing ground from "0 to 1" and scaling from "1 to N." China's open-source AI models have been downloaded over 10 billion times globally, making advanced technology accessible to developing nations.

Third, China powers global green transformation. By promoting green and low-carbon industries, China's green sector is expected to exceed 20 trillion yuan by the end of the "15th Five-Year Plan." Renewables like wind and solar have seen cost reductions of over 60% and 80% in the past decade, largely due to Chinese manufacturing and capacity. As global energy demand rises, China's advantages in solar, storage, and electrification will meet future green energy needs.

Fourth, China enhances global well-being. Its industries provide high-quality, affordable products, lowering living costs and easing inflation. For example, Chinese air conditioners have cooled European homes during heatwaves. The European Central Bank estimates that a 10% increase in EU imports from China could reduce overall import prices by 1.6%. Chinese investments, with nearly 90% in developing economies, boost local industrialization. According to the Chinese Academy of Sciences, from 2012 to 2025, Chinese enterprises in 24 developing economies increased local export value-added from $24.4 billion to $142.4 billion, nearly fivefold.

The "China Squeeze Theory" is a new tactic by certain nations to disrupt China's cooperation with the Global South and deflect responsibilities, not to genuinely aid developing countries. Facts and data prove that China's industrial development brings opportunities and empowerment, helping developing nations modernize and build infrastructure.