to the lucrative Chinese market. The prospect of similar potentially destructive megadams being proposed in other emerging economies means that U.S. policy on the Three Gorges Dam sets a precedent that will either aid or hamper American efforts to promote sounder environmental policies abroad. This paper will examine the Ex-Im Bank’s decision and its implications for U.S. foreign environmental policy. To this end, it will first outline the rationales behind support for and opposition to the project, including an evaluation of the net environmental impact of the dam. The following section will consider several issues raised by the case in order to assess the merits of the U.S. government’s stance. The paper concludes with some recommendations for a more credible and consistent U.S. foreign environmental policy. Background The concept of the Three Gorges Dam is over 75 years old, dating back to when it was first proposed by the nationalist leader Sun Yat-Sen, in 1919. The dam was a dream of communist leader Mao Zedong, who felt it would be a potent symbol of China’s self-sufficiency and ability to develop without western aid. In 1992, Chinese leaders officially announced plans to harness the river’s power by constructing the world’s largest hydroelectric dam only after communist leaders managed to silence opposition and pushed the plan through the National People’s Congress. The Three Gorges refers to a 120-mile stretch of limestone cliffs along the upper reaches of the Yangzi River where the water drops precipitously through the Qutang, Wu, and Xiling gorges. The region is linked to folklore and important historical events, and its beauty has inspired Chinese painters and classical poets such as Li Bai for centuries. Since the dam’s approval, however, the projecthas met with significant opposition, both domesticand international, as human rights groups, environmentalists, and historians decry t...
