“The torrid pace of China’s industrial growth has generated serious over-investment in factories and other ventures that are straining the country’s resources. Electricity and water shortages are mounting, transportation bottlenecks are developing, and the first hints of inflation are showing up in official data.”
“For Asia, a China slowdown would dent more than just trade ties. With more than half of China’s $438 billion in exports last year produced by foreign-funded enterprises, it also would ripple through corporate boardrooms of large investor companies, possibly disrupting deliveries and adding to the cost of Chinese-made consumer products in Western markets, including the United States.”
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