overcapacity
noun
over·ca·pac·i·ty
ˌō-vər-kə-ˈpa-sə-tē 
-ˈpa-stē
: excessive capacity for production or services in relation to demand
Examples of overcapacity in a Sentence
The airlines are lowering their prices because of an overcapacity of seats.
Recent Examples on the Web
The combination of more ships returning to the Suez Canal, alongside the introduction of new vessels, leads Maersk to anticipate overcapacity of 4 percent to 8 percent in 2026—marking yet another headwind to freight rates.
—
Glenn Taylor, Sourcing Journal, 5 Feb. 2026
China’s overcapacity and its support for manufacturers over consumers have also stoked excess supply that drags down prices.
—Jason Ma, Fortune, 1 Feb. 2026
International anxieties about China’s industrial overcapacity follow a similar pattern.
—Zongyuan Zoe Liu, Foreign Affairs, 16 Dec. 2025
But years of heavy investment in the manufacturing sector have also produced significant overcapacity in several sectors, pushing industries to chase overseas markets for growth while exacerbating price competition at home.
—John Liu, CNN Money, 11 Dec. 2025
See All Example Sentences for overcapacity
Examples are automatically compiled from online sources to
show current usage.
Read More
Opinions expressed in the examples do not represent those of Merriam-Webster or its editors.
Send us feedback.
Glenn Taylor, Sourcing Journal, 5 Feb. 2026
China’s overcapacity and its support for manufacturers over consumers have also stoked excess supply that drags down prices.
—Jason Ma, Fortune, 1 Feb. 2026
International anxieties about China’s industrial overcapacity follow a similar pattern.
—Zongyuan Zoe Liu, Foreign Affairs, 16 Dec. 2025
But years of heavy investment in the manufacturing sector have also produced significant overcapacity in several sectors, pushing industries to chase overseas markets for growth while exacerbating price competition at home.
—John Liu, CNN Money, 11 Dec. 2025
See All Example Sentences for overcapacity
Cite this Entry
“Overcapacity.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/overcapacity. Accessed 15 Feb. 2026.
Copy CitationLove words? Need even more definitions?
Merriam-Webster unabridged
