Finance & economics | China’s reserves

Why is Xi Jinping building secret commodity stockpiles?

Vast new holdings of grain, natural gas and oil suggest trouble ahead

An aerial photo shows the construction site of the Seaport Grain Reserve Base in Qinhuangdao, China, on April 19th 2024
Photograph: Getty Images

Over the past two decades China has devoured enormous amounts of raw materials. Its population has grown bigger and richer, requiring more dairy, grain and meat. Its giant industries have been ravenous for energy and metals. In recent years, though, the economy has suffered from political mismanagement and a property crisis. Chinese officials are adamant that they want to shift away from resource-intensive industries. Logic dictates that the country’s appetite for commodities should be shrinking, and shrinking fast.

Explore more

This article appeared in the Finance & economics section of the print edition under the headline “An ill wind”

Can she win?

From the July 27th 2024 edition

Discover stories from this section and more in the list of contents

Explore the edition

More from Finance & economics

The stockmarket rout may not be over

As investors pause for breath, we assess what could turn a correction into a crash

Why Japanese stocks are on a rollercoaster ride

Volatility in global markets continues


Why Japanese markets have plummeted

The global rout continues, with the Topix experiencing its worst day since 1987


Swing-state economies are doing just fine

They would be doing even better if the Biden-Harris administration had been more cynical

Can Kamala Harris win on the economy?

A visit to a crucial swing state reveals the problems she will face

Why fear is sweeping markets everywhere

American and Japanese indices have taken a battering. So have banks and gold