A lot of China’s growth the past years was heavily based on manipulating its currency with an artificial fixed peg to the US dollar. They believed they would be able to orchestrate a never ending and increasing trade balance with Europe and the US, but it was juiced by artificial methods that cannot be sustained longterm.
Only problem was a little word called inflation.
They may have believed it at one time, but they no longer believe it. That's why they are allowing labor intensive manufacturing to close down by the thousands. And contrary to popular believe, they have given in to the West's demand to allow the currency to appreciate (albeit slowly). And any kind tax incentive for the low cost manufacturers are a thing of the past. China is now going to focus on technology drive industries.
You may believe the article above signifies the end of the economic run for China. And for a year or two you maybe right as adjustments can many times show itself as a recession. But I believe China will adapt....and China will become more competitive and slowly resemble a developed nation......except on a much larger scale.