I am not worried about Tianjin,for it is a high tech oriented city with a huge pipeline of goodies on their way in the next 10-20 years。
I AM worried about cities like Wenzhou,which,though quite rich today,are dependent on low level、low value-added 、labour intensive manufacturings such as shoes、cigarette lighters and so on。
Shanghai will turn into a city of its own class now that the new government has just declared it a(gigantic)free trade zone!
Wenzhou is in a different page than any Chinese cities, I'd rather call my city as an entrepreneur oriented city rather than a industrial means```
you have no idea how hard Wenzhou suffered from the financial crisis, the real-estate bubble burst and the price went down almost 50% in centre areas, and private money lending sectors are can only be described as a total fiasco (first of its kind in China and there is no regulation whatsoever to regulate the market), quite a few local big companies bankrupted, with billions in debt.....
but the major problem is not that we have loads of low value added and labour intensity sectors, as the international demand for those are still very high, especially when they cannot afford for pricy stuffs after the financial crisis....but they key lies in the unsophisticated and heavily controlled financial and investment markets in China.
when we get rich with billions of Dollar cash in hand, and under the entrepreneurship, apart from consumption
, we are bound to invest these money in areas that can generate handsome safe returns. unfortunately real-estate is the only practical option that we have. but other lucrative areas like telecom, finance, banking, energy, stock market, defence and transportation sectors, the doors are shut for private sectors or very limited or not transparent for general investors.
But in Europe, you will be surprised to know that Wenzhou people's money is everywhere from stock market to real-estate and from luxury brands to high tech defence industry. for examples, whether you believe it or not almost all of 'Made in Italy' Chanel luxury goods are made in Italy in Wenzhounese factories and by workers from China, and Louis Vuitton, Prada and Gucci that I can add to the list too``(even I as a native born Wenzhounese, was in a state of shock when visited those factories!), also some high tech French companies who supply equiptments to Dassault, Thales Group and MBDA are owned or bought by Wenzhounese.
and they start buying entertainment and broadcasting companies in here London few years ago. And they are all private which is very different from other acquisitions did by China with government or state owned companies!
so I do not worried too much about Wenzhou only if the government is to free up financial and investment markets with fair and sophisticated regulations, so the Wenzhou money will flow again, just like what we do in Europe