Europe’s top business lobby in China urged Beijing to address price wars and unsustainable competition as the country readies its next five-year plan — adding to pressure from the US over the matter. While the nation’s consumption is growing, a key issue “is that manufacturing output has grown faster,” the European Union Chamber of Commerce in China wrote in an annual position paper published on Wednesday. “Involution, expanding inventories, pressure on profit margins, decreasing asset utilization and pressure to export are all natural consequences of this mismatch.” The business group with over 1,600 member companies urged Beijing to strike a balance between supply and demand by boosting consumption, a frequent recommendation from foreign companies. US Treasury Secretary Scott Bessent said in July he urged Chinese officials to make rebalancing their economy a pillar of their blueprint for the next half-decade.