The Best of Chinese Commentators

What lies behind the diesel shortage?

  • Published 18 Nov 2010

Chongqing, Zhejiang, Jiangsu and other areas are wrestling with a diesel shortage. Many small manufacturers have had to suspend or reduce production. Scholars debate what has caused the conundrum.

Ye Tan, commentator on FTChinese.com, said local governments are cutting power supplies to small manufacturers to meet the central government's end of year energy efficiency target. This forces those companies to turn to diesel generators to maintain production.

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