Short-Selling China

Billionaire investor James Chanos, who spotted problems with Tyco, Enron and other one-time Wall Street high-flyers, is at it again. Only this time, he has not a company but a country in his sights: China.

In a November interview, the hedge-fund manager said, “The Chinese are in danger of producing huge quantities of goods and products that they will be unable to sell.”

This runs counter to the prevailing wisdom that China has plenty of upside left to its growth. Nevertheless, it echoes observations by some in our industry who have pointed out that China is building electronics manufacturing capacity for the sake of capacity, and that at some point, a crash is inevitable.

I strongly recommend you read the linked article.

This entry was posted in Hot Wires by Mike. Bookmark the permalink.

About Mike

Mike Buetow is editor-in-chief of Circuits Assembly magazine, the leading publication for electronics manufacturing, and PCD&F, the leading publication for printed circuit design and fabrication. He is also vice president and editorial director of UP Media Group, for which he oversees all editorial and production aspects. He has more than 20 years' experience in the electronics industry, including six years at IPC, an electronics trade association, at which he was a technical projects manager and communications director. He has also held editorial positions at SMT Magazine, community newspapers and in book publishing. He is a graduate of the University of Illinois. Follow Mike on Twitter: @mikebuetow