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  • Writer's pictureGustavo Bernal Torres

Drought and Power Shortages Worsen China's Supply Chain Snags

China's power crunch threatens supplies of everything from metals such as aluminum to automotive parts — as well as food commodities.

  • A severe drought and sweltering heat have led to low water levels and a drop in hydroelectric power generation in China in recent weeks, causing power shortages and forcing the government to ration electricity in some provinces.

  • China relies heavily on hydroelectric power to meet its electricity needs, with the source accounting for about 15% of its overall energy mix. In places like Sichuan, which has been the worst affected, the figure is as high as 80%.



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