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China’s Economy is Trapped in a Doom Loop It Can’t Escape
National Security Journal ^ | 8/4/2025 | Gordon Chang

Posted on 08/04/2025 9:52:46 AM PDT by whyilovetexas111

China’s leadership, including Xi Jinping, is now openly admitting to a crisis of industrial “overcapacity,” a problem they have termed “involution.” This counterproductive and “disorderly competition” is causing destructive price wars, particularly in the massive auto industry. While Beijing is attempting to use dictatorial measures, such as price controls, to address the issue, experts argue that this approach will fail.

(Excerpt) Read more at nationalsecurityjournal.org ...


TOPICS: Business/Economy; Government; History; Politics
KEYWORDS: brics; ccp; china; economics; maga; tariffs; xijinping

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The renowned Gordon Chang consistently offers insightful commentary on China. He is good on TV for sure.
1 posted on 08/04/2025 9:52:46 AM PDT by whyilovetexas111
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To: whyilovetexas111
This counterproductive and “disorderly competition” is causing destructive price wars, particularly in the massive auto industry. While Beijing is attempting to use dictatorial measures, such as price controls,

The Chinese are stupid. They could raise car prices by having unions build them. LOL

2 posted on 08/04/2025 9:56:20 AM PDT by Tell It Right (1 Thessalonians 5:21 -- Put everything to the test, hold fast to that which is true.)
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To: whyilovetexas111

Bkmk


3 posted on 08/04/2025 9:57:22 AM PDT by sauropod (Make sure Satan has to climb over a lot of Scripture to get to you. John MacArthur Ne supra crepidam)
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To: Tell It Right

It is difficult to central plan a free market system.

This is the basic problem for China.

One of the most important elements of a free market system is the ability to fail.

China has a very hard time allowing stated sponsored businesses to fail...


4 posted on 08/04/2025 10:05:02 AM PDT by marktwain
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To: whyilovetexas111

Problem is, he’s been saying “China will collapse” for 20 years. So, yeah, I guess he has to be right sometime.


5 posted on 08/04/2025 10:10:08 AM PDT by LS ("Castles made of sand, fall in the sea . . . eventually." Jimi Hendrix)
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To: whyilovetexas111

New competition from countries with favorable trade deals with the US will impact them most.


6 posted on 08/04/2025 10:45:25 AM PDT by bigbob (If thou doth eff around, thou wilt findeth out)
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To: sauropod

Finally some good news.


7 posted on 08/04/2025 10:48:23 AM PDT by frank ballenger (There's a battle outside and it's raging. It'll soon shake your windows and rattle your walls. )
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To: whyilovetexas111

You can find articles from this guy going back 30 years predicting nothing but doom and gloom for China.

I’m not denying they have huge problems from a giant real estate bubble to a rapidly aging society....but I’d take anything Gordan Chang says with a truckload of salt. His hatred of the CCP is blinding.


8 posted on 08/04/2025 10:54:23 AM PDT by FLT-bird
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To: whyilovetexas111

Agree he lived there for years he knows a lot about them.


9 posted on 08/04/2025 11:40:42 AM PDT by Vaduz
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To: bigbob

Thats a fact


10 posted on 08/04/2025 12:13:28 PM PDT by HANG THE EXPENSE (Life's tough.It's tougher when you're stupid.)
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To: AdmSmith; AnonymousConservative; Arthur Wildfire! March; Berosus; Bockscar; BraveMan; cardinal4; ...

11 posted on 08/04/2025 6:55:12 PM PDT by SunkenCiv (The moron troll Ted Holden believes that humans originated on Ganymede.)
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To: marktwain
It is difficult to central plan a free market system.

Ding, ding, dint - we have a thread winnah!

12 posted on 08/04/2025 7:42:13 PM PDT by GOPJ (Lex Luthor drinks Bud light. freeper outofsalt/ drives a Jaguar and is a registered democrat)
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To: marktwain

The communists should build another empty city.


13 posted on 08/05/2025 1:02:05 AM PDT by minnesota_bound (Making money now. Still want much more.)
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