The transformation path of Xizang's distinctive industries

Editor's note: Li Jian is deputy director of the Center for Studies on Nation and Ethnicity, Zhejiang University. This article reflects the author's perspective and not necessarily the views of CGTN.

The year 2026 marks the opening year of China's 15th Five-Year Plan period (2026-30). The Xizang Autonomous Region has set its GDP growth target at above 7%. In 2026 Q1, Xizang's economy expanded by 6.1% year on year, continuing to rank among the fastest-growing regions in China. The driving force behind Xizang's rapid, high-quality economic development lies in an innovation-driven industrial transformation. For instance, in the field of clean energy, the world's highest-altitude stand-alone grid-forming energy storage project at the time was put into operation in Nagqu city in November 2024. Situated at an altitude of over 4,600 meters and backed by a total investment of 452 million yuan, the project is expected to deliver around 180 million kilowatt-hours of electricity annually, highlighting Xizang's emerging role as a national base for clean energy industry.

The Shannan Clean Energy Equipment Industrial Park marked a historic breakthrough for "Made in Xizang" manufacturing. The project rolled off its first products in August 2024. As Xizang's first clean-energy equipment manufacturing base, it records a milestone in the region's industrial development history. Besides, in the digital economy sector, the construction of the Yajiang‑1 intelligent computing center is also accelerating. The first phase is designed with a computing power of 2,000 petaflops and has been designated as the flagship project of the 10th batch of aid-Xizang programs launched by Wuhan, Hubei Province. With a total investment of 920 million yuan, the project supports China's "Eastern Data, Western Computing" initiative and the development of Xizang's digital economy, becoming the region's first large-scale intelligent computing center.

Smart ranches and digital agriculture are also reshaping production models on the plateau. In Ma'erza Village of Nyainrong County in Nagqu city, data on villagers' yaks — including their locations, body temperatures and activity levels — can now be monitored through a mobile app. Electronic ear tags and GPS collars provide alerts for boundary breaches or abnormal health conditions, helping raise average milk production by 15%. At the modern leisure agriculture park in Duoruo Village, Kyepa Township, Nedong District of Shannan, sensors and AI algorithms are being used to guide irrigation and fertilization management, increasing vegetable yields by 30%. Traditional ethnic handicrafts are likewise embracing industrial upgrading. From the weaving cooperative in Gangba Village to the region-wide commercialization of fingertip craftsmanship, traditional Xizang handicrafts are increasingly integrated into modern markets. Preliminary industrial clusters have taken shape in sectors such as Thangka painting, traditional metal forging, ethnic apparel, Xizang incense, Xizang-style wood carving, Pulu wool textiles and traditional wooden bowls.

The remarkable progress made by Xizang's distinctive industries in recent years can largely be attributed to three major factors. Firstly, Xizang has leveraged its unique plateau resource endowments to identify an appropriate development path. Distinctive industries must be rooted in distinctive resources, and Xizang's resources possess a high degree of scarcity and comparative advantage. Through years of exploration and experimentation, Xizang has identified promising sectors such as clean energy, AI computing power, smart agriculture and animal husbandry, cultural tourism and ethnic handicrafts, achieving an organic integration of the innovative upgrading of traditional industries and leapfrog development of emerging industries. 

Secondly, strong support from the central government and paired-assistance programs have played a crucial role. Xizang's geographical location as a frontier and limited infrastructure once posed major obstacles to its development. Since 1994, however, China has established an institutionalized paired-assistance mechanism for Xizang, creating a nationwide support framework. This mechanism has not only enabled the cross-regional allocation and rebalancing of high-quality development resources, but also cultivated large numbers of local professionals through mentorship and training, strengthening Xizang's deep-rooted development capacity and innovation capability. 

Thirdly, internal drivers of development have been steadily unleashed. In recent years, a new generation of entrepreneurs in Xizang has actively engaged in innovation and entrepreneurship by leveraging local strengths in cultural tourism, intangible cultural heritage, agricultural and pastoral products, and ethnic handicrafts. Benefiting from the rapid expansion of the Internet, e-commerce platforms and logistics networks, they have fostered a vibrant entrepreneurial atmosphere. The local government has also offered a 60,000 yuan startup subsidy to university graduates. This encourages young people to engage in the development of local specialty industries and enhances both the sustainability and inclusiveness of Xizang's growth.

Once a poverty-stricken region in China, Xizang is now emerging as a new frontier in the transformation and upgrading of China's distinctive industries, by embracing the path of innovation-driven development and actively practicing the new development philosophy featuring innovation, coordination, green development, openness and shared prosperity, particularly with institutionalized support from more developed eastern provinces. This transformation embodies the inclusive spirit of the Chinese nation — "leave no one behind" — and reflects a modern development path deeply rooted in Chinese civilization.

(Cover via VCG)