China has begun construction on what it claims will be the world's largest hydropower dam on the Yarlung Tsangpo River in Tibet, a $167 billion project that could surpass the Three Gorges Dam in scale and output.
The dam, located on a river that becomes the Brahmaputra as it flows into India and Bangladesh, has triggered significant concerns in both countries over water security, potential diversion of river flow, and environmental impacts. While China touts the project as a major step toward clean energy and economic growth, critics warn of risks to downstream communities, biodiversity, and regional stability. The project has also driven up shares of hydropower and construction-related companies, reflecting investor optimism about its economic impact.
Despite reassurances from Chinese officials, the lack of transparency and consultation with affected neighbors continues to fuel mistrust and geopolitical tension.
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