Industrial Chains Extended: New Sectors Emerge in China's Former Revolutionary Base Areas

Deep News08-06

China's 15th Five-Year Plan emphasizes revitalizing former revolutionary base areas by preserving revolutionary heritage and nurturing specialized industries. These regions are leveraging their unique strengths and fostering partnerships with key cities to drive growth. Policy support is fueling a wave of new industries, from a single seed spawning a pharmaceutical chain to aluminum supporting a hundred-billion-dollar sector and steel cables achieving global prominence. Diverse forms of red tourism allow visitors to experience the revolutionary spirit firsthand. Meanwhile, local specialties are becoming wealth-generating industries through e-commerce livestreaming and brand development. This year marks the 90th anniversary of the Red Army's Long March, providing a moment to reflect on how these base areas are forging a new path for development in the new era.

In Mingxi, Fujian, a seed has grown into a complete pharmaceutical industry chain. At a state-owned forest farm in Sanming's Mingxi County, rows of yew trees bear green fruit. These trees have enabled Mingxi to build a biomedical industry. Lin Chunhua, deputy general manager of Fujian South Pharmaceutical Co., Ltd., explains that paclitaxel extracted from yew bark was once extremely expensive, with a single formulation costing 8,000 yuan and a kilogram of raw material worth 3 million yuan. Mingxi overcame challenges in artificial yew cultivation and collaborated with universities to achieve breakthroughs in high-purity paclitaxel extraction. In 2001, the first biomedical company, now Fujian South Pharmaceutical, was established near the yew plantation. The company led over 4,000 local households in seedling cultivation, developing the high-paclitaxel yew variety 'Southern No. 1.' This variety allows extraction of the starting material for semi-synthetic paclitaxel directly from leaves, boosting raw material utilization to 95% and product purity to 99.9%. Consequently, production costs dropped dramatically, reducing the price of each paclitaxel formulation to 200 yuan. Facing market pressures for product diversification, the company invested 10% of annual revenue into R&D, built new facilities, and pursued international certifications. Over a decade, South Pharmaceutical captured 60% of the domestic market for taxane-based anti-tumor drugs and expanded into other anti-tumor and non-anti-tumor raw materials. In 2023, an oral tablet for leukemia treatment was approved, transforming the company from a raw material processor into a full-chain player encompassing pharmaceutical intermediates, raw materials, and finished formulations.

Following this chain, Mingxi has attracted upstream and downstream businesses. Chen Haisong, general manager of Fujian Furui Mingde Pharmaceutical Co., Ltd., notes the county's biomedical industry service team provides efficient assistance with approvals, environmental safety, and expert advice, boosting company confidence. With a mature industrial chain, Mingxi's biomedical sector has achieved scale. From January to May 2026, tax revenue from the county's biomedical chain reached 228 million yuan, a year-on-year increase of 29.18%.

In Baise, Guangxi, abundant bauxite reserves once led to a reliance on primary processed products like aluminum rods, with deep-processed goods accounting for only about 30%. Wu Jianghua, general manager of Guangxi Aotai Aluminum Co., Ltd., recalls the region was trapped in low-end price competition with thin margins. To escape this dilemma, local companies adopted diverse strategies. Aotai Aluminum launched a 300,000-ton project for high-performance aluminum plate, strip, foil, and recycled aluminum, achieving a monthly output of over 7,000 tons and 800 million yuan in output value over five years. Shanghai Rongrong New Material Technology (Guangxi) Co., Ltd. focused on advanced materials, becoming a company capable of mass-producing continuous alumina fibers. Their alumina fiber needled felt can withstand 1,400 degrees Celsius on one side while remaining touchable on the other. In 2019, five leading aluminum companies in Baise jointly established the Baise Aluminum Industry Association, breaking down information barriers. Today, Baise's aluminum industry has formed a complete chain from bauxite mining to resource recovery, producing aluminum wheels, power battery foils, photovoltaic components, and high-end alumina fiber products. To promote diversified development, the local government supports chain extension and strengthening. Kang Youjun, director of the new materials innovation center at Shanghai Rongrong New Material Technology (Guangxi) Co., Ltd., highlights preferential electricity pricing policies that save significant funds for R&D and capacity expansion. In 2025, Baise's aluminum industry output value reached 157.4 billion yuan, a 4.4% year-on-year increase, accounting for over 70% of the region's total aluminum output and 64% of the city's industrial output. Officials aim to break the 200-billion-yuan mark by 2028.

In Zunyi, Guizhou, a steel cable has reached the mid-to-high end of the value chain. The 'Erhang Changqing' pile-driving vessel, used in the Hangzhou Bay cross-sea railway bridge project, features a full set of steel cables—main piles, hammers, and anchor ropes—produced in the remote mountains of northern Guizhou. Chen Cai, director of the digital technology R&D office at Guizhou Steel Rope, describes their products as 'iron arms' capable of withstanding immense loads. In the company's factory, production lines run at full speed, churning out products from hair-thin wires to cables over 260mm in diameter, used in major bridges like the Shenzhen-Zhongshan Link. The success of these deep-sea steels, produced in the mountains, lies in technological breakthroughs: 2000-megapascal high-strength wires, zinc-aluminum-rare earth multi-element anti-corrosion coatings, sealed slings, and fiber-optic sensing cables. Chen Cai recalls that early on, critical production technologies were not locally controlled, limiting their capabilities. The turning point came with a relocation and technical upgrade. Moving into a new 730,000-square-meter, 550,000-ton-capacity modern base, the company eliminated outdated lines, introduced intelligent equipment, and rebuilt the manufacturing process. Guizhou Steel Rope broke through technological barriers, specializing in high-end cables and now leads the revision of two international standards, with products exported to over 40 countries. Its transformation reflects Guizhou's broader 'Rich Minerals, Fine Processing' strategy to push industries up the value chain. From Mingxi's pharmaceuticals to Baise's aluminum and Zunyi's steel cables, the industries in these former revolutionary base areas are progressing towards innovation, quality, and excellence.

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