The Yangtze River Delta has long been one of China¡¯s richest regions, with fertile fishing grounds and rice paddies that have given way to a sprawling megalopolis that includes Shanghai. Chinese President Xi Jinping has been trying for years to turn the area into an even bigger economic powerhouse, hoping to create a Silicon Valley of the east.
The country¡¯s economic slowdown, driven in part by tensions with the U.S. and a slumping property market, is now starting to weigh on the project. Plans include an expanded high-speed rail network and a $2.6 billion artificial canal town meant to symbolize its ecofriendly ambitions. While few would dispute that the region remains a key economic driver, even Xi¡¯s goal of creating a more efficiently run economic bloc and high-tech Arcadia hasn¡¯t been spared the impact of the recent uncertainties.
"As the world splits into blocks, we don¡¯t know to what extent trade would be curtailed,¡± said Shanghai-based independent economist Andy Xie. "International trade drives wealth creation here.¡±
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