Climate change has definitely arrived in China. Unseasonably high temperatures over 35C have contributed to its worst power shortage in a decade. For local power companies, that spells trouble.
Big cities including Beijing have warned of further disruption, on top of outages in the past month, as power grids are overloaded.
In some areas such as Guangdong province, where local companies including Tencent and international groups such as Toyota, Canon and Volkswagen have operations, power has been rationed. Supply shortages played a part in last month’s weak factory activity growth figures.
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