I'm not an economist, but to my eyes it looks like a dangerous cycle. Running your country on Chinese debt, then selling them the companies that produce the income that can service said debt. Surely there comes a point where the house of cards has to fall.
From an engine point of view I've read that TCM had ongoing valve problems 15 years or so ago that meant engines were requiring early top overhauls. I imagine it only takes a small reduction in manufacturing quality to create a huge reduction in reliability.