China has been using hydropower diplomacy, aka "water cooperation," or "water diplomacy," as a part of its economic diplomacy to increase both its hard power and its

hydropower diplomacy, aka "water cooperation," or "water diplomacy," as a part of its economic diplomacy to increase both its hard power and its soft power.

Hard power by means of using the natural resources of other countries and getting access to overseas strategic capitals, and soft power by means of helping out low- and middle-income countries in their development needs.

The reasons for this outward push include domestic as well as foreign factors.

Domestically, the hydropower sector is near saturation point, and second, it is facing constraints at home such as rising costs for new hydropower projects, increased political tension, etc.

Foreign factors include the Chinese "going out" strategy, which today has become part of B.R.I. The Chinese manufacturing industry has been producing hydropower project-related equipment in excess, allowing it to export. Besides, there is high demand from low- and middle-income countries. This push for water diplomacy is further supported and financed by the two main policy banks of China, namely, the China Development Bank and the China Export-Import Bank.

This policy will help China sustain its manufacturing industry, expand the operations of its two main policy banks, promote China as a "soft power" for its developmental activities in the "Global South", counter other players such as the US, Japan, etc., especially in the Mekong region, etc.

China is focusing on ecology, biodiversity, local livelihoods, and other social issues when it comes to building hydropower projects.

China's Hydropower Diplomacy

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