The national power restriction of "open 4, stop 3" has been implemented in Qingdao.

2021-10-25

Affected by the COVID-19 pandemic, major production countries around the world, except for China, have experienced factory shutdowns and social standstill, such as India and Vietnam. As a result, a large number of overseas orders have flooded into China. According to data from the national customs, in the first half of 2021, the total value of China's goods trade imports and exports reached 18.07 trillion yuan, an increase of 27.1% compared to the same period last year, with exports amounting to 9.85 trillion yuan, a year-on-year increase of 28.1%.

In theory, orders should be overwhelming, and domestic companies, especially foreign trade enterprises, should be extremely excited. However, the reality is not so.Due to the surge in demand, there has been a crazy increase in commodity prices.(Such as crude oil, non-ferrous metals, steel, coal, iron ore, etc.), this can be verified by the continuous rise in domestic oil prices and the increasing net value of stocks and funds related to coal and steel since the beginning of this year.

The rise in commodity prices, especially the crazy increase in coal prices, has a fatal impact on our power generation companies. Although our hydropower, wind power, and photovoltaic power generation have made significant progress in recent years, thermal power still remains the mainstay.Thermal power mainly relies on coal, and the rising costs of power generation companies due to the increase in commodity prices.Moreover, the grid price set by the State Grid has not changed, so the more electricity the power generation companies produce, the more they lose, leading to limited production becoming a trend.