This is actually pretty genius. Perhaps the Chinese economy is recession-proof. But I doubt it. It's at the height of a 30-year bull market. It doesn't seem insane that a downturn could happen.
And the party seems to be pretty weak when the Chinese economy isn't doing swimmingly. If things finally do turn sour, what a convenient time. You can just blame it on someone else.
The Chinese economy has had plenty of recessions in the last 30 years: 1990, 1998, even 2008 was probably a dip in real terms. It’s not like the economy hasn’t gone sour before.
This time I wonder if some businesses are moving out of China due to the instability of the relationship with the US and China, not to mention the future instabilities to come.
I can tell you that Caterpillar has planned to move almost all production out of China with the majority coming back to the US. They're even spinning up casting plants that have been shuttered for over a decade because of this.
And the party seems to be pretty weak when the Chinese economy isn't doing swimmingly. If things finally do turn sour, what a convenient time. You can just blame it on someone else.