overcapacity
/əʊvəkəˈpasɪti
/noun [mass noun]
The situation in which an industry or factory cannot sell as much as its plant is designed to produce: margins were squeezed by overcapacity in the market...
- Now, if they're in an industry suffering from overcapacity and bloated asset prices, they should worry if vultures aren't in sight.
- It faces dramatic industry overcapacity and near-flat worldwide demand.
- European mass-market car makers are struggling in the face of intense price competition brought on partly by overcapacity in the industry.