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The article offers the author's insights on the state of domestic bond market in China. Topics discussed include a wave of defaults in the increase of debt issuance, the decline in the average interest rate paid on outstanding debt in the country according to Hua Chuang Securities, and the spread between interest rates on government and corporate bonds.

The article focuses on the first default in the domestic bond market in China since its central bank began regulating it in 1997. It states Shanghai Solar Energy Science and Technology Co. declared on March 4, 2014 it would be unable to make the full interest payment on a corporate bond. It mentions it previously escaped a potential bond default when its local government intervened and comments there is no sign of a new bailout. It speculates on potential market reaction to further defaults.