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The Price of Prestige: China’s Infrastructure-Driven Debt and Corruption

A gleaming escalator, dubbed the “Yunding Sky Ladder,” scales a mountainside in China’s Jiangxi Province. The $18 million project, which began a brief trial operation in July 2025, was promoted as a technological marvel—a 700-meter-long ascent that takes just 20 minutes.

But the project has faced intense public criticism and was suspended shortly after its debut. Funded through local government bonds and managed by a state-owned enterprise, the escalator has left significant unpaid debt. Many question its necessity at a time of high unemployment and economic strain.

Critics argue the escalator is a prime example of a “vanity project”—large-scale infrastructure built more for political prestige and GDP figures than public utility. Environmental experts also warn that installing the structure damaged local vegetation and increased risks of soil erosion.

This case reflects a broader pattern in China, where flashy, underused projects are approved under a system that rewards officials for visible construction. Often backed by state-linked firms, such projects have frequently been tied to corruption scandals, inflated budgets, and minimal oversight.

With many local governments already facing heavy debt, costly projects like the mountain escalator—and their long-term maintenance—raise concerns about fiscal responsibility and the misuse of public funds. As economic pressures grow, public frustration is rising over spending that appears to prioritize spectacle over substance.

Despite repeated public backlash, similar projects continue to emerge across China, highlighting a systemic challenge in how development goals are set and evaluated.

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