According to a report in China Daily on March 8th…
China’s Ningxia Hui Autonomous Region is accelerating efforts to develop competitive industries centered on advanced manufacturing, digital infrastructure and clean energy, as the northwestern region seeks to strengthen its role in the country’s modern industrial system.
Speaking during the annual sessions of the National People’s Congress in Beijing, Chen Chunping, vice-chairman of the regional government, said Ningxia plans to deepen industrial upgrading by focusing on six major industrial clusters and four strategic sectors.
The strategy aims to transform traditional industries through digitalization, environmental upgrades and technological innovation, while simultaneously expanding emerging sectors such as computing infrastructure, new materials and renewable energy.
Industrial Upgrading Remains Central
Although Ningxia’s economy has historically relied on energy and resource-based industries, local authorities are seeking to reposition these sectors through advanced technology and greener production methods.
According to Chen, the region’s economic growth and household income expansion have ranked among the top six nationwide for four consecutive years, driven largely by industrial restructuring.
One pillar of Ningxia’s economy is its modern chemicals sector, which has already exceeded 200 billion yuan ($27.8 billion) in output value. The region is also China’s largest producer of coal-to-liquids fuel and a major supplier of industrial materials such as spandex and aramid fiber.
Officials argue that traditional industries still have strong growth potential if they incorporate advanced technologies and meet higher environmental standards.
Wine Industry Expands Global Profile
Beyond heavy industry, Ningxia has also developed a rapidly growing wine sector.
The eastern foothills of the Helan Mountains are widely regarded as one of China’s most promising wine-growing regions, producing roughly half of the country’s domestically made wine.
Local authorities aim to integrate wine production with tourism and digital technologies, including artificial intelligence-based traceability systems designed to enhance product quality monitoring and brand recognition in global markets.
Emerging Sectors and Computing Infrastructure
Ningxia is also positioning itself as a strategic node in China’s expanding digital infrastructure network.
The region has been designated both a national internet exchange center and a computing-power hub, part of Beijing’s broader strategy to expand national data infrastructure and support artificial intelligence development.
According to regional officials, Ningxia currently hosts about 250,000 standard server racks and approximately 190,000 computing accelerator cards. Total computing capacity has already exceeded 130,000 petaflops, supported by 22 large and ultra-large data centers.
Under newly approved national plans, the region’s computing capacity could expand to 600,000 petaflops, supported by about 770,000 racks.
Clean Energy and Future Industries
Alongside digital infrastructure, Ningxia plans to accelerate development of clean energy, new materials and the digital economy.
Local policymakers are also exploring forward-looking sectors including bio-manufacturing and embodied artificial intelligence, which officials say could play a role in the region’s next phase of industrial development.
For China, regions such as Ningxia illustrate how inland provinces are attempting to reposition themselves in the country’s evolving industrial landscape — combining traditional energy and manufacturing strengths with emerging technologies and data infrastructure.