Huawei's "breakout" relocation is a stark warning from industrial capital to high house prices in first-tier cities. In the past few years, faced with continuously rising housing prices, officials from the Political Bureau of the CPC Central Committee to the Economic Work Conference of the CPC Central Committee have repeatedly made plans to accelerate the construction of the housing security system and the supply system. General Secretary Xi Jinping stressed that in view of China's national conditions, the general direction is to build a housing supply system in which the government mainly provides basic security and the market mainly meets the multi-level demands. This profound statement means that the boundary and responsibility between the government and the market on the housing issue will be further clarified. The government will provide basic security, and the market will meet the needs of different levels.In the face of rigid bubbles, we need to have firm determination, strengthen the expectation management and build a systematic anti-crisis plan. If this issue is properly handled, it will be a beginning of a good morning for China's economy. However, if it is improperly handled, it will be the beginning of a long and painful night for China’s economy.
