Nothing is improving for the Chinese real estate sector, which represents more than a quarter of the country's GDP.
On Sunday, the Shimao group failed to repay a $1 billion (959 million euros) bond, posting the industry's largest default in China this year.
Continually declining since the second half of 2021, Shimao's sales experienced a sharper decline at the start of the year marked by a 72% decline over the first five months.
Shimao, which has been desperate for cash for a few months, has put assets up for sale, including its Intercontinental Shanghai Wonderland hotel, considered one of the great recent architectural successes, which reportedly sold for 2.25 billion yuan (354 millions of dollars).
Use of barter
But the disposals, promotions and other attempts at refinancing "
have not improved
" the situation of Shimao, which says it is penalized by the uncertainty surrounding the financing market.
His default in payment, which worries his customers…
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