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EXPLAINER: Chinese builder’s debt struggle rattles investors

Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operations on a wall at one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Global investors are watching nervously as one of China's biggest real estate developers tries to avoid a default on its $310 billion mountain of debt. (AP Photo/Ng Han Guan) A cleaner sweeps near a map showing Evergrande development projects in China on a wall in an Evergrande city plaza in Beijing on Sept. 21, 2021. China’s central bank expanded the supply of money for lending Monday, Dec. 6, 2021, as Beijing tried to reassure its public and investors the economy can be protected if a troubled real estate developer’s $310 billion mountain of debt collapses. (AP Photo/Andy Wong) Women wearing face masks walk by an Evergrande new housing development in Beijing, Wednesday, Sept. 22, 2021. China’s central bank expanded the supply of money for lending Monday, Dec. 6, 2021, as Beijing tried to reassure its public and investors the economy can be protected if a troubled real estate developer’s $310 billion mountain of debt collapses. (AP Photo/Andy Wong) People walk by a map showing Evergrande development projects in China at an Evergrande new housing development in Beijing on Sept. 22, 2021. China’s central bank expanded the supply of money for lending Monday, Dec. 6, 2021, as Beijing tried to reassure its public and investors the economy can be protected if a troubled real estate developer’s $310 billion mountain of debt collapses. (AP Photo/Andy Wong) A man wearing a mask passes by a sign depicting Evergrande Group's China operation at a one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Evergrande Group's struggle to turn assets into cash has prompted fear a default might chill Chinese lending markets and cause global shockwaves. Economists say the ruling Communist Party can prevent a credit crunch but it wants to avoid sending the wrong signal by bailing out Evergrande in the middle of a campaign to force companies to cut debt Beijing worries is dangerously high. (AP Photo/Ng Han Guan) Residents wearing masks pass by a sign depicting Evergrande Group's China operation at a one of their commercial projects in Beijing, China, Tuesday, Dec. 7, 2021. Evergrande Group's struggle to turn assets into cash has prompted fear a default might chill Chinese lending markets and cause global shockwaves. Economists say the ruling Communist Party can prevent a credit crunch but it wants to avoid sending the wrong signal by bailing out Evergrande in the middle of a campaign to force companies to cut debt Beijing worries is dangerously high. (AP Photo/Ng Han Guan) FILE - People walk by a map showing Evergrande development projects in China at an Evergrande new housing development in Beijing on Sept. 22, 2021. On Friday, Dec. 3, 2021, troubled Chinese developer China Evergrande Group, struggling under $310 billion in debt, warned it may run out of money to “perform its financial obligations,” sending regulators scrambling to reassure investors that China’s financial markets can be protected from a potential impact. (AP Photo/Andy Wong, File)