Indebted Chinese Companies Increase Pressures on Government

Photo
A welder at a shipbuilding yard in Chongqing.

Credit
Agence France-Presse — Getty Images

HONG KONG — Sainty Marine Corporation started small, buying and selling a few ships in the 1980s. But the state-owned Chinese company went on a debt-fueled binge over the last few years, opening its own shipyards and signing orders worth hundreds of millions of dollars apiece.

Now, heavily indebted companies like Sainty Marine are at the center of the economic troubles in China that have unsettled currency, commodity and stock markets of late.

Sainty Marine just found itself…

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