Rising Risk of Forced Asset Sales in China

The video discusses the significant rise in corporate debt in China, which has reached nearly 160% of GDP. The Chinese government is focused on addressing this financial risk, considering it a critical challenge. The discussion then shifts to the impact of this debt on pricing, highlighting how companies lose leverage and bargaining power when they are forced to sell, affecting market dynamics.

What has been the trend of corporate debt in China over the last couple of years?

What is the government's stance on addressing financial risk in China?

What critical battle did the government mention in December regarding financial risk?

What effect is expected on pricing due to the current financial situation of companies?

How does the need to sell affect a company's leverage and bargaining power?