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Caixin

How China stumbled into a painful energy shortage

Surging electricity demand and plunging coal supplies create a perfect storm

Since late September, many parts of China have suffered severe electricity supply shortages. Local governments imposed power cuts and rationing on industrial users and even residents.   © Reuters

The perfect storm that created China's worst power crunch grew out of surging energy demand amid the post-pandemic recovery and plunging coal supplies due to the government's emission-reduction campaign.

Since late September, many parts of China have suffered severe electricity supply shortages. Local governments imposed power cuts and rationing on industrial users and even residents. The ripple effects disrupted global supply chains as textile, steel and other factories shut down and production plunged.

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