An unprecedented heatwave and drought in southwest China has driven surging power demand across the region
Southwest China hit by energy shortages
Extreme weather in the region means more headwinds for the Chinese economy
An ongoing power crunch in China’s top gas production basin has led to a near-total industrial blackout in southwest China, affecting major energy industries and drawing comparisons with last autumn’s widespread electricity shortages that affected more than half the country. The Chinese economy has already experienced significant drag from various localised Covid lockdowns so far this year and this latest disruption around the Sichuan region could contribute to slowing growth, with a knock-on impact on various commodities, including the international LNG trade. Unprecedented heatwave An unprecedented heatwave and drought in southwest China since the start of July has driven surging power dem
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