The ripple effects of China’s ongoing property market turbulence have been felt across multiple sectors, casting a long shadow over the nation’s economic landscape. Major developers have defaulted on debts, leaving thousands of unfinished housing projects and millions of homeowners in limbo. The government has implemented a series of regulatory measures aimed at stabilizing the sector, but these have yet to restore investor confidence or reignite robust home-buying activity. As a result, consumer spending and construction growth have slowed, stalling what was once a key driver of China’s GDP.

Economic analysts highlight several risk factors that underscore the fragility of the current recovery efforts:

  • High Debt Levels: Many property firms remain heavily leveraged, limiting their…