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Chinese Developer Halts Projects After Deaths at Building Sites

  • Shares slump 17 percent after six die in Anhui accident
  • Moody’s sees slower sales growth as safety issues come to fore

Back in April, giant Chinese developer Country Garden Holdings Co. ordered its thousands of staff to move faster in getting projects to market. The human and financial cost of the emphasis on speed is now coming into focus, after deadly accidents at its building sites caused the stock to crash.

Country Garden shares plunged 17 percent this week, lopping off $6 billion in market value, after a July 27 announcement that it was temporarily halting all 2,200 projects nationwide for safety checks prompted by a six-fatality accident in Anhui province. Another person died at a Shanghai site in June.