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A growing list of risks is turning China into a potential quagmire for global investors.

The central question is what could happen in a country willing to go to great lengths to achieve its leader’s goals. Chinese President Xi Jinping’s friendship with Russian leader Vladimir Putin has made investors more distrustful of China, while a strongman narrative is gaining momentum as the Communist Party doggedly pursues a “COVID zero” strategy and unpredictable campaigns to regulate entire industries.

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