China Is Running Out of Water and That’s Scary

Of all Bejing’s problems — demographic decline, a stifling political climate, 
the stalling or reversal of economic reforms — dwindling natural resources may 
be the most urgent.

By Hal Brands December 30, 2021 
https://www.bloomberg.com/opinion/articles/2021-12-29/china-s-water-shortage-is-scary-for-india-thailand-vietnam


Nature and geopolitics can interact in nasty ways. The historian Geoffrey 
Parker has argued that changing weather patterns drove war, revolution and 
upheaval during a long global crisis in the 17th century.

More recently, climate change has opened new trade routes, resources and 
rivalries in the Arctic.

And now China, a great power that often appears bent on reordering the 
international system, is running out of water, and in ways that are likely to 
stoke conflict at home and abroad.

Natural resources have always been critical to economic and global power.

In the 19th century, a small country — the U.K. — raced ahead of the pack 
because its abundant coal reserves allowed it to drive the Industrial 
Revolution. Britain was eventually surpassed by the U.S., which exploited its 
huge tracts of arable land, massive oil reserves and other resources to become 
an economic titan.

The same goes for China’s rise. Capitalist reforms, a welcoming global trade 
system and good demographics all contributed to Beijing’s world-beating 
economic growth from the late 1970s to the early 2000s.

The fact that China was nearly self-sufficient in land, water and many raw 
materials — and that its cheap labor allowed it to exploit these resources 
aggressively — also helped it to become the workshop of the world.

Yet China’s natural abundance is a thing of the past.

Beijing has blown through many of its resources. A decade ago, China became the 
world’s largest importer of agricultural goods. Its arable land has been 
shrinking due to degradation and overuse.

Breakneck development has also made China the world’s largest energy importer: 
It buys three-quarters of its oil abroad at a time when America has become a 
net energy exporter.

China’s water situation is particularly grim.

As Gopal Reddy notes, China possesses 20% of the world’s population but only 7% 
of its fresh water.

Entire regions, especially in the north, suffer from water scarcity worse than 
that found in a parched Middle East.

Thousands of rivers have disappeared, while industrialization and pollution 
have spoiled much of the water that remains.

By some estimates, 80% to 90% of China’s groundwater and half of its river 
water is too dirty to drink; more than half of its groundwater and one-quarter 
of its river water cannot even be used for industry or farming.

This is an expensive problem. China is forced to divert water from 
comparatively wet regions to the drought-plagued north; experts assess that the 
country loses well over $100 billion annually as a result of water scarcity.

Shortages and unsustainable agriculture are causing the desertification of 
large chunks of land.

Water-related energy shortfalls have become common across the country.

The government has promoted rationing and improvements in water efficiency, but 
nothing sufficient to arrest the problem.

This month, Chinese authorities announced that Guangzhou and Shenzhen — two 
major cities in the relatively water-rich Pearl River Delta — will face severe 
drought well into next year.  [ie, now]

The economic and political implications are troubling.

By making growth cost more, China’s resource problems have joined an array of 
other challenges — demographic decline, an increasingly stifling political 
climate, the stalling or reversal of many key economic reforms — to cause a 
slowdown that was having pronounced effects even before Covid struck.


China’s social compact will be tested as dwindling resources intensify 
distributional fights.

In 2005, Premier Wen Jiabao stated that water scarcity threatened the “very 
survival of the Chinese nation.”

A minister of water resources declared that China must “fight for every drop of 
water or die.” Hyperbole aside, resource scarcity and political instability 
often go hand in hand.

Heightened foreign tensions may follow.

China watchers worry that if the Chinese Communist Party feels insecure 
domestically, it may lash out against its international rivals.

Even short of that, water problems are already causing geopolitical strife.

Much of China’s fresh water is concentrated in areas, such as Tibet, that the 
communist government seized by force after taking power in 1949.

For years, China has tried to solve its resource challenges by coercing and 
impoverishing its neighbors.

By building a series of giant dams on the Mekong River, Beijing has triggered 
recurring droughts and devastating floods in Southeast Asian countries such as 
Thailand and Laos that depend on that waterway.

The diversion of rivers in Xinjiang has had devastating downstream effects in 
Central Asia.

A growing source of tension in the Himalayas is China’s plan to dam key waters 
before they reach India, leaving that country (and Bangladesh) the losers.

As the Indian strategic analyst Brahma Chellaney puts it, “China’s territorial 
aggrandizement in the South China Sea and the Himalayas … has been accompanied 
by stealthier efforts to appropriate water resources in transnational river 
basins.”

In other words, the thirstier China is, the more geopolitically nasty it could 
get.


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This column does not necessarily reflect the opinion of the editorial board or 
Bloomberg LP and its owners.

To contact the author of this story:
Hal Brands at [email protected]
To contact the editor responsible for this story:
Tobin Harshaw at [email protected]


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