China Observer - Shanghai Can’t Hold Up: High-Speed Trains, Streets, Malls All Deserted, Foreigners Gone
The video highlights the stark economic decline in Shanghai, evidenced by empty high-speed trains during the typically busy Chinese New Year travel period. It shows a video of an empty train from Shanghai to Guangzhou, a route usually packed with passengers. This unusual emptiness is attributed to the struggling economy, with many migrant workers possibly having left the city. The video also explores the state of Shanghai's malls, such as the Zenai Himalaya Center and the Thousand Trees Mall, which are largely vacant despite their prime locations and significant investments. These malls, once bustling, now face closure and are described as eerie and ghost towns due to their deserted state. The video further discusses the decline in foot traffic in restaurants and shopping areas, with many businesses struggling to attract customers due to high costs and economic pressures. The video suggests that the economic downturn has led to a significant decrease in Shanghai's population, with many people leaving due to high living costs and lack of job opportunities. The video concludes by discussing the broader implications of this decline, including the departure of foreign businesses and expatriates, and the challenges faced by the local population in maintaining their livelihoods.
Key Points:
- Shanghai's economy is struggling, leading to empty trains and malls.
- High-speed trains during peak travel times are nearly empty, indicating economic issues.
- Major malls like Zenai Himalaya Center are largely vacant, described as ghost towns.
- Restaurants and shopping areas face low foot traffic, impacting businesses.
- The population decline is due to high living costs and lack of job opportunities.
Details:
1. 🚄 The Unusual Sight of Empty Trains
- During previous Chinese New Year periods, trains from Shanghai to various destinations were always packed, with hardly a seat available.
- A video surfaced showing an unusually empty high-speed train departing from Shanghai, raising doubts about its authenticity.
- To verify, the same individual boarded another high-speed train from Shanghai to Guangzhou, a route known for being the busiest during this time, and filmed the empty conditions.
- The video documentation showed the train, passing major cities with typically heavy passenger flow, remaining nearly empty, suggesting a significant change in travel patterns.
- This unusual emptiness of trains during a peak travel period highlights potential economic challenges in China, as noted by the observer.
2. 🏬 Shanghai's Struggling Shopping Malls
2.1. Current State and Challenges
2.2. Historical Context and Developer Background
2.3. Design and Atmosphere
2.4. Implications for Local Economy
2.5. Future Prospects and Recovery
3. 🍽️ Challenges Facing the Restaurant Industry
3.1. Decline of Consumer Traffic
3.2. High Maintenance Costs and Poor Layout in Malls
3.3. Struggles of Restaurants in Prime Locations
4. 🏙️ Where Has Shanghai's Population Gone?
- Shanghai is experiencing a noticeable decrease in population visibility, with streets and popular tourist areas appearing emptier than usual, driven primarily by economic pressures and lifestyle changes.
- Key factors include a poor economic climate, low marriage and birth rates, and increased reliance on live streaming and delivery services, which keep people indoors more often.
- The economic impact is significant: reduced consumer spending has led residents to cook at home rather than eat out, affecting local businesses.
- Ride-hailing and delivery workers are earning less due to decreased demand, and companies of all sizes are facing layoffs or closures.
- The housing market is also struggling despite price drops, as wealthy individuals save rather than spend.
- The expatriate population has decreased significantly post-2021 lockdown, with many foreign companies closing factories and reducing staff.
- To counteract these trends, China has introduced visa-free policies and transit visa exemptions to boost tourism and attract foreign visitors.
5. 💼 Economic Woes and Population Exodus
- Foreign investment withdrawal has left many migrant workers in Shanghai unemployed as they cannot afford the city's high living costs.
- Many workers, even after a decade in Shanghai, are leaving due to unaffordable housing and living expenses, earning just over 10,000 Yuan monthly, not enough to save.
- Highly educated individuals struggle to find jobs in Shanghai, making it even harder for ordinary workers to sustain their livelihood.
- Shanghai's population has dropped from over 30 million to around 25 million, indicating a significant exodus.
- The city has relaxed household registration rules and is encouraging talent recruitment to address the declining population.
- Shanghai's total fertility rate is 0.6, lower than South Korea's 0.87, contributing to population decline.
- Local populations in Shanghai's suburban and rural areas have also decreased significantly in recent years.
- Many former residents have emigrated from China, often utilizing investment programs or undocumented routes.
- Political and economic challenges are driving the exodus, with China's economy facing major issues and political sensitivity around economic discussions.
6. 📉 The Wealthy Flee and Economic Instability
- A notable trend of wealthy individuals fleeing China underscores significant economic instability, with large amounts of capital exiting the country annually.
- The Rome Family, once the richest in China, reportedly relocated from Shanghai to Canada, reflecting a lack of confidence in China's economic trajectory.
- This movement mirrors the cautious actions of Le Ka-shing, who withdrew investments from China as Xi Jinping rose to power, highlighting economic caution.
- The departure of the Rong family is viewed as a critical indicator of deep-seated instability, likened to previous major economic shifts.
- Additional context indicates that economic policies and governance under Xi Jinping's administration contribute to this trend, prompting wealthy individuals to secure their assets abroad.