From what I can tell, China has a capitalism problem, not an industrial wealth problem - they could house every one of their citizens in a decent apartment and give them gadgets and a car to drive, yet half the country is third-world poor still.

But that's because in a market economy, you can't just give away things, and those poor people don't produce much of value by capitalist standards, so the can't pay for those things.

I'm sure the CCP is working on the problem of how to give these people those things without crashing the economy.