From Wiki
The chart measures the amount of energy required for one unit of GDP.
What does it mean? I am puzzled by the relationship between energy usage and trade balances, and need more work on the issue. China, for example, having the same energy efficiency as its major importer, the USA, could not be taking a very high margin from its products. The UK runs a trade deficit yet has as good as energy efficiency as Germany or Japan. Only Germany and Japan fit the mold, they both have good energy efficiency and run surpluses.
China, I would think, is about to get into big trouble trying to maintain such low efficiency while being a major exporter. Also, as an investor I would be looking for underdeveloped nations with good energy efficiency, there are lots of them.
World oil deficit by region
The regional deficit charts tell me that China had better get oil efficiency technology from Japan, that seems pretty clear. There is a purpose in China's accumulation of Yen that goes beyond saving. I do not see the Chinese economy stabilizing without Japanese technology, especially in transportation.
Bloomberg reports on Chinese efforts to decrease energy intensity.
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