China has begun construction on what is set to 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.
While China touts the dam as a green energy milestone and economic boost, the project has triggered alarm in downstream countries, especially India and Bangladesh, over potential impacts on water security, biodiversity, and regional stability. Critics also highlight concerns about environmental damage, forced relocations, and lack of transparency or consultation with affected communities. The dam is expected to drive up demand for construction materials and hydropower equipment, benefiting related industries and China's green finance sector.
The project underscores rising geopolitical tensions in Asia over shared water resources and the environmental costs of mega-infrastructure.
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