A US$100bil bet sours as warehouses stay empty

Shrinking demand: A file photo of a deserted commercial complex in Beijing. China’s capital is experiencing a slump in the office property market. — AP

Beijing: In many parts of China, the warehouses and industrial parks that used to be a magnet for international investors are grappling with a surprising slowdown in business activity.

Logistics hubs that were built in anticipation of a long-lasting boom in eCommerce, manufacturing and food storage are losing tenants, forcing building owners to slash rents and shorten lease terms.