By Tyler Durden
China’s copy of Manhattan is no longer a ghost town, Bloomberg reports. But that doesn’t mean it has forever forestalled a “day of reckoning” for its debt-fueled growth.
The northern city of Tianjin drew negative press coverage a few years ago because of a newly built replica of Manhattan complete with a mock Rockefeller Center that was created as part of a massive government infrastructure project but for years was little more than a ghost town. But the city is now occupants are finally clocking to the city: Bloomberg reports that once empty skyscrapers, vacant office towers and unfinished hotels and apartments are gradually filling up amid the central government’s renewed push to refashion the city into a crucial gateway for a revitalized Northern China.
As Bloomberg reports:
There still may still be a financial reckoning for Tianjin looming in the future, but right now there are green shoots of economic life in the urban districts at the center of the city’s unprecedented construction boom.
But there’s a catch, of course: As is true for the broader Chinese economy, the growth in Tianjin “is mostly government driven, though there are signs private industry is coming.”
Here’s more from Bloomberg:
In the Binhai district, …read more