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China Facing Power Supply Threat From Drought in Sichuan

  • Hydropower generation falling in southwestern province
  • Heat wave also a risk for polysilicon and lithium production
Decreased water level of the Yangtze River, in Jiangxi Province on Aug. 13.
Decreased water level of the Yangtze River, in Jiangxi Province on Aug. 13.Photographer: Shen Junfeng/VCG/Getty Images
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A heat wave in Sichuan is curbing hydropower generation in a growing threat to electricity supply and economic growth in one of China’s most-populous provinces. 

Some factories in the manufacturing hub in southwestern China are curbing production, and the extreme weather may also cut supplies of materials like polysilicon and lithium that are vital to the energy transition.