- China’s energy crisis has many causes – and continues
- Beijing’s ambitions in the competition for norms and standards
- IMF backs Georgieva despite manipulation accusations
- CATL leads battery recycling
- EU suspends aluminum tariffs right after imposition
- Europeans in favor of strict supply chain law
- Heavy rainfall and typhoon cause flooding
- Terracotta army moves on to Hesse
- Profile: Fan Shan – An artist with business acumen
- Siberian tiger population stabilizes
Germany is facing a sharp rise in electricity prices – with the cost for natural gases potentially quadrupling. First voices already pinpointed China’s enormous demand as one cause of the phenomenon. The People’s Republic is indeed already severely affected by the global energy crisis: Power outages will probably continue to plague the country throughout winter, writes Nico Beckert. But balancing supply, demand, and environmental targets has always been difficult for Beijing’s planners. Rapid growth causes imbalances, after all.
Meanwhile, Xi Jinping surprised the energy world with a spectacular announcement. China plans to set up new solar and wind power plants with a capacity of 100 gigawatts in remote areas within a short timeframe. That is already half the capacity of all German power plants – and yet it only marks the beginning. According to rumors, up to 400 gigawatts of electrical power could be produced in the desert. However, how exactly it will reach the consumer remains to be seen.
Standardization is power. Two hundred years before the birth of Christ, the first emperor of the Qin dynasty standardized the gauge of carts, currency, and units of measurement in his young empire. Cubit, weights, or grain measures were now unified throughout China. This laid the foundation for the central administration and productive trade between the formerly divided princedoms.
Because of its delayed development, China has been late for setting standards in modern times. During the 20th century, the US and Europe set all important standards. This also applies to the basics of digitalization, such as mobile phone protocols or internet addresses. But when it comes to new technologies of the 21st century, China does not want to be left behind again, reports Amelie Richter. China now wants to take the lead in setting standards for Industry 4.0, the Internet of Things, or autonomous driving. The EU is observing this endeavor with a keen eye.
Finn Mayer-Kuckuk
Feature
Startled industry: Power supply remains tight until winter
China’s energy crisis sometimes produces the most curious news. According to media reports, some suppliers are currently running short of power generators. More and more factory owners are buying diesel generators. Due to the rationing of electricity in recent weeks, they are running out of options. Some European companies are also taking this route, according to Klaus Zenkel, chairman of the EU Chamber of Commerce in South China.
The purchase of diesel generators could turn out to be quite a reasonable investment. China’s energy crisis will likely drag on, after all. “In all provinces where German companies are active, power cuts are continuing. It is reaching the point wherein northern China, for example, individual companies are being mandated to save up to 85 percent power,” Jens Hildebrandt, executive board member of the German Chamber of Commerce in northern China, told China.Table. “In some regions, there can be two days of production and two days of power cuts. In northeastern China, companies are only able to produce until 2 p.m. in some places.”
Effects feared to last into winter
China’s energy crisis could even last well into the winter, analysts, industry representatives, and even overseas chambers of commerce fear. True, authorities have ordered China’s coal mines to expand production as quickly as possible to overcome the supply shortage. But industry officials state that expansion of production may come too late to solve the energy problem quickly. That’s because power plant stocks have been running far too low for weeks. Usually, power plants stockpile large amounts of coal for the winter to ramp up production during the cold months. But that hasn’t happened in recent months.
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