Even more so than others, real estate in China is CCP controlled.Every private Chinese held company in China is "basically a government dept" , depending on how loose you wanna be with the interpretation. But land isn't their problem, they already have plenty, as you undoubtedly know empty buildings are.
What's the easiest way for a property developer to go broke? Not sell the buildings they build.
Taiwan aint gonna fix a heap of empty buildings in China, no more than is bondholders doing their coin.
On a side note I just love how we've built a system where certain folks get to invest and as soon as it looks like they'll do their coin, it's panic stations.
It's as if for those merkins investment is always supposed to be a sure f**king thing, and when it's not, some merkin better stump up the coin or all hell's gonna break loose.
The cheap land analogy wasn’t good but I was more intimating that China will use economic downturn as a precursor to expansionist plans.
It’s absolutely zero surprise that BlackRock are one of the investors in “panic stations”. Definitely a no lose situation for them.