GT Online: Impact of Widespread Electricity Blackout in Communist China

Written by: Ping

Translated by: billwilliam

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As factories prepare to restart production after the mid-autumn festival holidays, widespread electricity blackouts are sweeping across more than 10 provinces, including Jiangsu, Zhejiang, Shandong, Guangxi, and Yunnan.

As reported by, there are two main causes of limited electricity supply and restrictions on factory production. The first reason is the shortage of coal that drives up the price of electricity generated by coal power plants. Two coal power plants in Zhejiang issued notices that electricity supply will be limited because coal price for generators has soared to 1450 RMB/ton, and there is no supply of coal even at the high price.

Second, some regions impose restrictions on power consumption for carbon emission goals. Under the goals of reaching a carbon emission peak and being carbon neutral, this round of blackouts and halting of production highlights the importance of balancing the transition into green energy in the long run with stable economic growth in the short term. But in fact, the price of chemical raw materials skyrocket under the impact of production restrictions and carbon emission goals. It is a norm for manufacturers of raw materials to stop production altogether. The raw material market spirals out of control, and prices surge by 70% within a week.

The trade war between Communist China and Australia has been dragging on for over a year, with Communist China utterly defeated. Australian coal has advantages in price and quality, but the coal price system in Communist China is distorted by the government’s excessive intervention, such as sanctions on Australian products. When the Communist Chinese government artificially suppresses coal prices during a shortage, the suppliers are reluctant to sell, and there is little coal available for downstream users. Adding insult to injury, a large amount of imported coal is not allowed into Communist China because of strict import restrictions. As many factories plan to operate at full capacity, the coal shortage and limits on energy consumption lead to the strange phenomenon of massive blackouts and production shutdown.

Although various parts of China have experienced blackouts last December and this May, the scale and duration of the blackouts are inconceivable this time. Due to the lack of purchase orders, many companies simply ask employees to spend long vacations during the mid-autumn festival, yet the companies did not expect to encounter a wave of production restrictions after the festival. The factory owners are restless as the price of raw materials surges. This is undoubtedly a fatal blow to small and medium-sized companies, and the ripple effect will exacerbate Communist China’s unemployment problem.

In conclusion, the limit on electricity consumption and halting of production is another blow to Communist China’s economy. The ensuing price hike and unemployment will make the common people’s lives more miserable. Meanwhile, the power consumption restrictions may progress from industrial to residential use of electricity. As northern China will enter the freezing winter in two months that requires tons of coal for heating, how can the common people have adequate energy for heating given the shortage of coal and electricity? Will there be electricity usage limits if the residents of southern China want to turn on the AC for heating? Yet the Chinese Communist Party cares little about the livelihood of the common people—the regime would rather let the people die. Sadly, the common citizens of Communist China are treated worse than animals.


Disclaimer: This article only represents the author’s view. Gnews is not responsible for any legal risks.

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