Catalogue of Encouraged Industries in the Western Region was promulgated in 2014, and amended in 2014 and 2020 respectively. The latest revision entered into force on 18 Jan. 2021.
There are industrial entries of 12 regions in the Catalogue, which aims to encourage the development of the western region and promote the industrial structure adjustment and development of industries with local advantages.
Key points of the Catalogue are as follows:
The policies for encouraged industries in the western region shall apply to 12 provinces (autonomous regions and municipalities), i.e. Chongqing, Sichuan, Guizhou, Yunnan, Tibet, Shaanxi, Gansu, Qinghai, Ningxia, Xinjiang (including Xinjiang Production and Construction Corps), Inner Mongolia and Guangxi, covering more than 70% of China’s territorial area. Meanwhile, Yanbian in Jilin Province, Enshi in Hubei Province, Xiangxi in Hunan Province and Ganzhou in Jiangxi Province shall implement the industrial policies by reference to those in the western region.
Enterprises income tax will be levied at a reduced rate of 15% on enterprises operating in encouraged industries in the western region.
Develop scientific and technological forces. Add industrial entries in some western provinces for R&D and production of high-end chips, R&D and production of numerically-controlled machine tools and the manufacturing of hydrogen fuel cells, and support the orderly development of strategic emerging industries such as electronic information, equipment manufacturing and new energy in the western region.
Promote orderly westward transition of industries and optimize the industrial structure of the western region. Develop the automobile industry manufacturing in Shaanxi Province and Qinghai Province; make textile and garment processing, home appliances and consumer electronics manufacturing intelligent and green.
Give full play to the special advantages of the western region. Develop wind and solar energy in Inner Mongolia and Ningxia; support high-quality development of industries with distinctive local features and advantages, such as the development of grape brewing industry in Gansu Province and Xinjiang Province.