China has 'real' structural problems due to trade uncertainty: Wilbur Ross

U.S. Commerce Secretary Wilbur Ross said Thursday China has some “real” structural problems as a result of trade uncertainty.

“Supply chains are starting to hollow out,” he told FOX Business’ Maria Bartiromo. “What happened was China is no longer really the cheapest place in the world to manufacture. So a lot of boards of directors were thinking about relocating.”

Ross’ comments come as the Organisation for Economic Cooperation and Development on Thursday cut its economic forecast for the global economy, which it now sees growing at 2.9 percent this year (the worst pace since the 2008-2009 financial crisis), down from 3.6 percent last year. The OECD predicts 3 percent in 2020.

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Despite some companies sitting on cash, and a lower rate of growth, the U.S. economy is healthy, he said.

“Our economy is excellent – 6.3 million new jobs have been created since President Trump came in – wages are up 3.2 [percent] year-over-year,” he said, adding that “these are huge things. African-American female unemployment down. Hispanic-American unemployment down.”