Yes, China has completed many infrastructure projects. Especially in the last 12 years. One of the problems is that there are eight lane highways leading from the equivalent of a St. Louis to a Rapid City. In the equivalent of Rapid City, 30 apartment buildings of 20 stories each have been built to hold 30,000 people. Office buildings and shopping centers have been built to accommodate the influx of people. The problem is no one wants to live there so the buildings are vacant and few people use the highways.
China has between 30-60 million new housing units that are vacant, depending on who reports the information.
A Fifth of China’s Homes Are Empty. That’s 50 Million Apartments
https://www.bloomberg.com/news/arti...-homes-are-empty-that-s-50-million-apartments
Real Estate is where the average Chinese holds his savings/wealth. Ten percent down and finance 90% works good in a rising market. The problem is the markets are softening. Developers have tried to dump inventory and have had riots from those that bought a few months previously. The government has stopped developers from dumping. Developers now can't pay their loans.
75% of Chinese wealth is in their houses vs. 30% of American's wealth. A 20% correction in real estate values will wipe way more than half of the equity away.
China ghost cities and real estate correction: China’s GDP and individual household wealth is heavily tied to real estate. What happens when a correction hits?
https://www.mybudget360.com/china-ghost-cities-real-estate-part-of-gdp-chinese-housing/
A correction in the housing market craters the banking/financial industries. China has massive debt problems. America has a debt to GDP ratio of 1/1. Officially China has a debt to GDP ratio of .5/1. This article says the ratio is closer to 3/1. More recent articles I have read say it may be closer to 5/1. There is a tremendous amount of cross colaterilization and cross guarantees. Companies with no real debt of their own have guaranteed loans for other companies for 5-10 times their own equity. This is a massive house of cards.
Debt, Not Trade War, Is China's Biggest Problem
https://www.forbes.com/sites/panosm...e-war-is-chinas-biggest-problem/#2f26c2c84c4d
The real estate and financial markets of China are massive time bombs waiting to happen.
China also has the problem of not having a diversified economy. Their economy has been built to be an export economy. They do not have enough internal demand to offset the loss in exports. America can easily replace Chinese products with the same or similar products from other countries at an increase of 1-2%. China doesn't have other countries to replace the entire demand of America.
China has a major problem with it's one child policy. When an economy has negative population growth, there is not the high tide to float all boats. The Chinese economy will have to fight the loss of people in the work force as the country ages and people retire. The Chinese government is on the line for guarantees in retirement that are way worse in China than American's are facing with social security.
American's with Chinese ancestry that I know in America, who still have relatives in China, say the social credit score is despised and is causing a massive shift in attitudes amongst many Chinese. If you are not familiar with it, this article may be enlightening. As long as the economy continues to rock along, the social credit scores will probably be tolerated. When the first bubble bursts, it will be very interesting to see how the CCP deals with this.
China has started ranking citizens with a creepy 'social credit' system — here's what you can do wrong, and the embarrassing, demeaning ways they can punish you
https://www.businessinsider.com/china-social-credit-system-punishments-and-rewards-explained-2018-4
This is a good article to help show the problems China is facing with America over a trade deal. China has a $400B trade surplus with America. This doesn't include the $500B of technological and industrial theft they commit against America every year. China can only loose. America can only win. Ross, Lighthizer, Mnuchin and Navaro know this. Trump has assembled the most amazing group America has ever seen to deal with trade. Five percent of China's GDP is exports to America. Supply chains are being broken every day as manufactures move to other countries where exports to America won't be subject to tariffs. Trump has all the time in the world to make a trade deal. Is 5% loss in GDP enough to trigger the first Chinese bubble to pop? We live in interesting times.
Investment Exodus / Shifting Supply Chains – China Walks into Trump’s “Golden Ticket” Trap…
https://theconservativetreehouse.co...s-china-walks-into-trumps-golden-ticket-trap/
I could go on but have work to finish up with today. Cheers.