overcapacity

American  

[oh-ver-kuh-pas-i-tee] / ˌoʊ vər kəˈpæs ɪ ti /

noun

plural

overcapacities

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

---

overcapacity British  

/ ˌəʊvəkəˈpæsɪtɪ /

noun

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

---

Etymology

Origin of overcapacity

First recorded in 1925–30; over- + capacity

Example Sentences

The goal is to make sure EU taxpayers' money is "used strategically to strengthen Europe's industrial base -- rather than subsidising Chinese overcapacity", said Neil Makaroff of the Strategic Perspectives climate think tank.

From Barron's

As the freight industry contends with overcapacity and pressure on profitability, the company has been working to right-size its cost base and streamline its organizational and sales structure as it seeks to accelerate growth.

From The Wall Street Journal

Having a target range aligns better with officials’ efforts to control industrial overcapacity and advance structural reforms, Société Générale economists said.

From The Wall Street Journal

They are part of a cost-cutting drive by the world's biggest chemical company, which has been battered by high energy costs in Germany, weak demand and massive overcapacity on global markets.

From Barron's

The vast German chemical sector has been mired in crisis in recent years due to overcapacity, weak demand and high energy costs.

From Barron's