Chinese factories and houses are working on power outages | WGN 720 radio

0

Beijing (AP) – Smartphones and other products before Christmas after a power outage to meet government energy consumption targets have closed factories in China and exposed some households to darkness.

In northeast Liaoyang, 23 people were hospitalized with gas poisoning after a power failure cut off ventilation at a metal smelter, according to state broadcaster CCTV. No deaths have been reported.

Apple Inc.’s iPhone parts supplier said it had halted production at its plant in western Shanghai at the behest of a local government.

The great manufacturing turmoil in China, one of its busy seasons, reflects the communist ruling struggle to balance economic growth with efforts to reduce pollution and gas emissions linked to climate change.

“Beijing’s unprecedented determination to implement energy consumption restrictions may bring long-term benefits, but the short-term economic costs are significant,” said Nomura economist Tin Lu. Richen Wang and Jin Wang said in a report Monday.

They lowered China’s economic growth forecast from 5.1% in the previous quarter to 4.7%. They lowered their annual growth outlook from 8.2% to 7.7%.

Global financial markets are already threatened by the potential collapse of Evergrande Group, one of China’s largest real estate developers, and are struggling to avoid multibillion-dollar defaults.

Manufacturers are already facing other protracted consequences of processor chip shortages, delivery disruptions and the global shutdown of travel and commerce to tackle the coronavirus pandemic.

Residents of northeast China, where fall temperatures are dropping, have reported a power outage and called on social media to call on the government to restore supply.

The crisis comes as world leaders prepare to attend the United Nations Conference on the Environment via Videolink, which will take place October 12 and 13 in southwest Kunming. He is pressuring President Xi Jinping’s government to stick to emissions and energy efficiency targets.

The ruling party is also gearing up for the Winter Olympics in Beijing, the capital of China, and nearby Shijiazhuang in February, when it’s time to want clear blue skies.

Many companies have reported that electricity distribution can delay order fulfillment and can be financially damaging.

Apple spare parts supplier Eson Precision Engineering Co. Ltd. said on Sunday it would suspend production at its Kunshan plant in western Shanghai until Thursday “in accordance with local government electricity restrictions.”

Eson said the outage is not expected to have a “significant impact” on operations.

Apple did not immediately respond to questions about the potential impact on the iPhone offering.

China’s energy consumption and industrial emissions are skyrocketing as manufacturers rush to meet foreign demand while other competitors are still hampered by coronavirus control.

Macquarie Group economists Larry Fu and Shinyu Ji said the Chinese economy was “more export-oriented than at any time in the past decade,” but official energy consumption targets do not ‘do not take this into account. , Said in the report.

According to Li Shuo, climate policy expert at Greenpeace in Beijing, some states used up most of their official energy consumption quotas earlier this year and are reducing them to stay within limits.

Utilities, on the other hand, are stifled by soaring coal and gas prices. Lee said this discourages them from increasing production because the government is limiting the ability to pass costs on to customers.

Lee said the prices were rising “beyond what the Chinese power industry can tolerate.”

China has repeatedly launched campaigns to make its energy-intensive economy more efficient and to eliminate smog-stricken cities.

The city sky is visibly clear, but sudden campaigns have cut off electricity, coal and gas, forcing families to shake in unheated homes and shut down factories. ..

A mall in the northeastern city of Harbin said it would close stores earlier than usual to save electricity.

In southern Guangdong, the government has asked the public to set the air conditioner thermostat to a high level even when temperatures exceed 34 ° C (93 ° F).

State Grid Corp., the world’s largest distribution company, is committed to ensuring adequate supply.

Meanwhile, state media said the local government signed a long-term coal contract to secure the right suppliers.

___

Soo reported from Singapore. Contributed by Huizhong Wu, an AP writer in Taipei, Taiwan.

Source link Chinese factories and houses work on power outages | WGN 720 radio

Share.

Comments are closed.