Some provinces in China are purported to be suffering from electricity shortages and blackouts. Many manufacturers have been asked to shutdown for many hours daily and local cities are rationing their power.
But why is China suddenly facing a power shortage? The answer given by so called experts coming on news channels is that China has cut down on coal to reduce emissions, or that the Chinese govt ordered coal power plants shut down to keep skies clear for winter Olympics, and/or that China's coal imports are down due to dispute with Australia.
We think these are all not the real reasons. All these are manufactured reasons by China and spread as propaganda through these so called experts to hide something more sinister.
Let's understand one thing, if negative news is coming out of China, then mostly it is for some purpose useful to China. Or else they will hide the negative news.
China has always produced more electricity than needed. And for the last 20 years, China has had no electricity shortage. So this sudden news of electricity crunch is surprising.
What could be the real reason?
We believe China wants to send out an economic contagion to the world. To make the world economies suffer after they were already weakened by the Covid lock downs. So China can grow faster and become world number one as US, EU and dollar backed financial system takes a fall.
China may be creating an artificial power crisis, debt repayment crisis, container shortage crisis etc to hit world economy and trade.
They are hoarding thousands of shipping containers so there's a global shortage of containers.
They are investigating huge real estate companies for fraud and debt as if they didn't know what was happening before.
This is surprising as every company in China that is over a certain size needs to have communist party members as board members. So the party knows everything about every company, even private ones.
It is impossible for China to not know about such toxic debt leverage these real estate developers have taken before. Even if they found it out just now, there's no reason to let these big companies fail to cause shock to the economy and millions of local investors. If they are doing it taking pain themselves, then there's a purpose to it.
And they are using the power crisis as an excuse to stop companies from manufacturing enough. Computer chips, auto parts, industrial goods are all now being halted in production. Even local companies think it is because of power crisis they are being told to stop production. But the power crisis itself may be a manufactured one by the Govt.
So the world needs to brace for three things:
1) Economic contagion from China crashing our markets and financial systems
2) Shortage of goods and commodities that are coming from China and also other places as there's a container shortage
3) Huge impact on computing industry and chips as electronics and other component manufacturing is getting hit by these power crisis in China.
All these will lead to hyper inflation around the world. Also for an initial period China will suffer economically just like how it suffered under Covid initially. And that's when the Chinese govt will divert attention of its people to some "foreign aggressor".
And that may very well be India as China may launch conflicts across the border blaming India for it. And use that locally to divert attention. And also use it to inflict cyber, power, and other war on India affecting our economy too which is not as much reliant on imports like US or EU at least for essential commodities.
India needs to Beware