It's by Catherynne M. Valente (in case anyone didn't follow the link, and assumes it's by China Miéville). It is excellent, but quite challenging to read. It's difficult to get through the tangled dreamscape stuff. I lost my way three-quarters of the way in, put the book down, and eventually abandoned it. I must give it another go soon, though.
Related: by popular demand Valente wrote the childrens' book mentioned in Palimpsest.
>A glorious balancing act between modernism and the Victorian Fairy Tale, done with heart and wisdom" - Neil Gaiman
Link to the first book here (most of it is online, save the last act):
The Girl Who Circumnavigated Fairyland in a Ship of Her own Making
And for anyone who wants to pre-order: It's available on Amazon