Shenzhen (China) (AFP)

“They owe me more than 10 million!”: Ms. Xia like dozens of despoiled landlords demonstrate in front of the headquarters of Chinese real estate giant Evergrande, which admitted on Tuesday that it could not meet its obligations.

Evergrande, crushed by liabilities of nearly 260 euros looters, is the biggest real estate developer in China.

Its possible liquidation would have considerable consequences, not only on the Chinese economy but also on the "social stability" dear to Chinese leaders.

Evergrande reports employing 200,000 people and indirectly generating 3.8 million jobs in the country.

On Tuesday, around sixty worried people demonstrated in front of the group's headquarters in Shenzhen (south).

Police officers equipped with transparent shields blocked access and prevented journalists from filming.

"We managed projects for them but we still have not been paid. They gave us no explanation", plague one of the demonstrators met by AFP and who did not wish to give his name out of fear. retaliation.

In China, protests are de facto illegal.

Police officers equipped with transparent shields block access to the headquarters of the Evergrande group in Beijing, September 14, 2021 Noel Celis AFP

Recently, several subcontractors and suppliers had complained that they were not being paid.

And construction sites have been put on hold.

- "Violation of our rights" -

Evergrande "owes our boss over 20 million yuan and many people here even more," said Mr. Cheng, a worker at a construction company.

This sum represents more than 2.5 million euros.

"We are very worried [...] but there is nothing we can do," he said resignedly.

Among the demonstrators are homeowners who have paid in advance for the construction of their homes but may never be able to benefit from it.

“They owe me more than 10 million yuan!” A woman named Xia said.

"Evergrande is a large group. We expected it to reimburse, but ultimately it is not. It is a violation of our rights as citizens," she said.

- "Considerable impact" -

Real estate occupies a considerable place in the economy, representing more than a quarter of investments in the country.

The logo of the Evergrande group on a construction site in Beijing, September 13, 2021 GREG BAKER AFP

While tens of millions of households have invested in stone, the macroeconomic consequences could be severe if the value of property falls below the amount of loans payable.

Evergrande succumbed to new rules imposed by Beijing to curb real estate speculation after decades of easy money, when developers multiplied the incentives to convince homeowners to move into new homes.

Evergrande can no longer sell any property until it has formally finished building it.

A model that the group has used extensively in the past to finance itself and keep its activities afloat.

According to experts, the group still has to complete 1.4 million homes for a total value of 170 billion euros.

In a statement Tuesday to the Hong Kong Stock Exchange, where the group has been listed since 2009, Evergrande said it was exploring "all possible solutions" for its liquidity problem.

However, "there is no guarantee that the group will be able to meet its financial obligations," warned the real estate juggernaut.

On a construction site of the Evergrande group in Beijing, September 13, 2021 GREG BAKER AFP

The group's tumble accelerated last week as its rating was downgraded by rating agencies, as the stock fell lower than when it was floated in Hong Kong 12 years ago.

Despite the pressure, Beijing "will not let Evergrande go bankrupt," say analysts at US-based SinoInsider.

"It would have a huge impact on the regime" and its stability, they point out.

"The most likely outcome is a restructuring with other real estate developers who would take over unfinished projects," Mr. Williams predicts.

Poly Property, a subsidiary of a Chinese military group and based in Hong Kong, could be among the companies called to the rescue of Evergrande, according to analysts at Saxo bank.

© 2021 AFP