China is shortly going to be dangerous.
Pei-Ping.
Not to be too curious about it....but if one listed all of the Chinese mortgage/development companies, how many are near collapse?
“I tell you already. Check is in Mail. Don’t call again!”
Problem is that China may start war over Taiwan to distract from problems.
China is a communist country above all. They build according to plans and official targets. When they were raking in the cash before Trump got into office they plowed their money into huge cities that people could not afford to live in. Standards are low and building codes were only enforced when bribes were not being offered. They call it tofu construction. They have built several cities with everything but people in them. Of course if you own apartments but don’t have renters eventually you will get foreclosed on. In the last couple of weeks they were demolishing a dozen partially completed buildings because they could not afford to finish them.
...So the ruling elite simply deem the company to have an extra $200MM yuan, and they pay off the debt. Heads may roll at the top of the company, but I don’t see China actually letting some of their companies, especially ones that big, fail. And no one’s gonna care if the money is created out of thin air, and they just ‘found’ it somewhere in the back of the books.