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China’s Energy Crisis

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  4. China’s Energy Crisis

Today at a Glance:

  • China’s energy crisis is best understood through the simple, Econ 101 lens of supply and demand, with a particular focus on the coal market.
  • Demand-side drivers primarily include a booming recovery from COVID-19 lows and a hotter-than-normal year that increased residential power usage.
  • Supply-side drivers include coal shortages, import restrictions, utility price fixing, and CCP emissions targets.
  • Net-net, we have demand up and supply down, leading to widespread shortages, rising costs, and a ripple effect that extends across the globe—the stage is set for what could be a long, cold winter.

More here – The Curiosity Chronicle

Categories: Commodities, International MarketsBy Chris TateOctober 20, 2021

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