China's factories fear for future amid power cuts

Factories in northeast China have warned their businesses won't survive if authorities continue with crippling power cuts.

Beijing is scrambling to deliver more coal to utilities to restore supply.

The worst cuts in years have hit three provinces in the region, home to nearly 100 million people.

Gao Lai runs a laundry processing factory:

"Electricity is really important to us all in our daily lives or small companies like my own. We aren't even a small company, we're just a processing factory. Anyway, I think as long as we can afford it, we are willing to cooperate because the country needs it. But if power curbs continue in the long run we have think of a way to deal with this."

Wang Jiangjun, who manages a steel treatment centre, says he is concerned about the continued halting of production:

"I am really worried if power curbs will happen frequently in future" he says

We can't work if there are more power curbs."

Since last week, more than 100 companies ranging from makers of electronic components to gold mining have suspended production over the cuts.

The shortages were triggered by a surge in the price of coal, which generates about two-thirds of China's electricity.

It's now hovering near record levels amid tight supplies and strong manufacturing demand.

The government has said its priority will be to guarantee household power and heating supplies over the winter.

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