Insight - Crisis in China’s property industry deepens

Tough times: The flag of property developer Shimao Group next to the Chinese flag in Shanghai. The company recently proposed delaying repayment of about RM4bil of high-yield trust products due between this month and August. — Reuters

ALMOST a year after China’s property-market debt squeeze sparked the first in a wave of defaults by developers, the industry is fighting for survival.

Home sales continue to plunge and elevated borrowing costs mean offshore refinancing is off the table for many developers.