Built on debt.

"The world order is changing." Dawn. "Having enjoyed rapid economic growth under the regime of neoliberal globalisation, China's ambitions have become decidedly less inhibited." "The experience with CPEC (China-Pakistan Economic Corridor) so far is instructive." "While TV and social media celebrities gush over Gwadar's scenery, roads and port facilities, local communities protest for basic amenities, dignity and livelihoods. While GB (Gilgit-Baltistan) serves as the gateway for CPEC, its people are increasingly resentful of mining, road-building and other contracts for outsiders." "China...beefed up its counter-espionage law, allowing exit bans to be imposed on anyone, Chinese or foreign, who is under investigation. Most of the cases in the database referring to exit bans are civil, not criminal." Reuters. A report by Safeguard Defenders estimates 'tens of thousands' of Chinese are banned from exit at any one time. It may be because China's economy is not firing as it had hoped. "The China Caixin manufacturing purchasing managers index dropped to 49.5 last month from 50 in March, pointing to a contraction in factory output for the first time since January." ET. Domestic trips surged 19% over 2019 levels during the 5-day Labor Day holidays but tourism spending recovered less strongly. China's consumer price index (CPI) inflation fell to 0,7% in March showing weak consumer demand. ET. China may not be able to escape the middle-income trap. "In 2020, China's per capita GDP was $10,400 and reached roughly $12,556 in 2021, according to the World Bank." The Print. "If China were to escape the middle-income trap, it would need to increase its total factor productivity to join the club of high-income countries - which remains dismal." "Its per capita income is currently $12,500, one-fifth that of the US," wrote Ruchir Sharma. "In the 19 countries that sustained 2.5% growth after reaching China's current income level, total debt (including government, households and businesses) averaged 170% of GDP. None had debt nearly as high as China's." China's total debt is at 275% of GDP. "China's cities are buried in debt, but they keep shoveling it on." NYT. "Some of China's most indebted local governments are on a hiring spree...as officials seek to create jobs for a record number of graduates entering the workforce this year. China's huge and rising local government debt, totaling $9 trillion, or half of the nation's gross domestic product, is one of the biggest threats to fostering sustainable growth in the world's second largest economy." Reuters. A further threat to its economy is 'friend-shoring' by Western countries. "Reducing their deep dependence on supply chains with China at their center has become a top priority among Western economies as Beijing's threats to Taiwan heighten geopolitical risks in Asia." Reuters. "A lesser China is more likely than the world yet realises," thinks Sharma. That may make it more dangerous. India is right next to this malevolent nation.