Lu'an's Industrial Ascent: Embracing Innovation for a New Era

Deep News
昨天

For the third consecutive year, Lu'an City has commenced its industrial development efforts with a major conference, signaling a strong start to the year. This consistent momentum underscores the city's commitment to high-quality industrial growth.

Industry serves as the backbone of urban development and a powerful engine for revitalizing older revolutionary base areas. Since the start of the 14th Five-Year Plan period, Lu'an has steadfastly implemented its "Strong Industrial City" strategy, striving for a leading position within the provincial development landscape. The city has not only achieved remarkable growth speed but also demonstrated a new phase of high-quality development. By the end of 2025, the number of industrial enterprises above the designated size in the city reached 1,607, a net increase of 642 from 2020. Among these, 389 enterprises had an output value exceeding 100 million yuan, 30 exceeded 1 billion yuan, and 4 exceeded 5 billion yuan, representing net increases of 76, 12, and 1 enterprise, respectively.

Today, Lu'an's industrial sector plays an increasingly vital stabilizing role. With an optimized structure and stronger growth drivers, it is steadily supporting the prosperity of the people in the region.

**Seizing Industrial Opportunities, Strengthening Cluster Pillars**

In Jin'an Economic Development Zone, a national cluster for new energy vehicle power system components, production lines hum with activity. Parts are rapidly dispatched to Hefei, the Yangtze River Delta, and across the nation, painting a picture of a city fully engaged in the competitive new energy vehicle sector.

In recent years, Lu'an has actively seized industrial trends, integrating into Hefei's development as a "New Energy Vehicle Capital" and deepening the "Hefei Vehicle Assembly + Lu'an Components" collaborative model. The industrial layout is clear and orderly: three development zones serve as primary platforms, focusing on aluminum-based lightweight die-casting and integrated "Three Electric" systems. Other areas specialize in complementary fields like battery recycling, wiring harnesses, and power batteries, forming a distinctive and coordinated regional industrial pattern.

Enterprises are the source of vitality. On the production line of Anhui Haosite Auto Parts Co., Ltd., advanced machinery produces lightweight components for major automakers. The company's output value reached 750 million yuan in 2025, a year-on-year increase of over 17%. Continuous technological upgrades are injecting new momentum. Like Haosite, many Lu'an enterprises are deeply embedded in Hefei's supply chain through technical prowess. By the end of the 14th Five-Year Plan period, the number of auto parts manufacturers above the designated size in the city reached 205, a 2.1-fold increase from the start of the period.

While focusing on the primary auto industry, Lu'an has also cultivated distinctive industrial clusters. Several clusters have gained national or provincial recognition. To date, Lu'an has nurtured 3 national-level and 6 provincial-level characteristic SME clusters, with the recognition count ranking second in the province.

Regional cooperation has further invigorated these clusters. In the first three quarters of 2025, the Hefei-Lu'an Economic Corridor concentrated 87.7% of the city's major industrial enterprises. Lu'an's active integration into the Yangtze River Delta region has facilitated numerous partnerships and orders for local companies.

From R&D labs to bustling production lines, Lu'an is racing ahead in the new energy vehicle industry, powered by its primary sector and supported by robust industrial clusters.

**Igniting the Innovation Engine, Accelerating Upgrades**

Innovation is the decisive factor for future success and the primary driver of high-quality development. In Lu'an today, innovation is evident not only on production floors but also in around-the-clock laboratories.

In Jin'an Economic Development Zone, Anhui GenSemi Semiconductor Co., Ltd. is producing gallium nitride laser chips, achieving mass production and filling a domestic industry gap. Overcoming significant R&D challenges, the company has established a fully integrated model, becoming one of the few globally to master this approach. With over 30% of its staff in R&D and substantial investment, the company exemplifies the drive to innovate. It is now accelerating its layout across the semiconductor chain.

GenSemi's story is not isolated. Lu'an has implemented a suite of measures to foster innovative enterprises, resulting in a 3.8-fold increase in high-tech enterprises and a 13.5-fold surge in tech-based SMEs during the 14th Five-Year Plan period. Notably, a local company was recognized as a provincial-level leading technology enterprise, a first for Lu'an, marking a significant upgrade in innovation capability.

Lu'an promotes open innovation, leveraging partnerships with Shanghai and collaboration with Hefei's academic institutions to establish R&D platforms. Government policies are guided by enterprise needs, with over 80% of municipal industrial projects addressing real-world challenges.

From semiconductor labs to AI-powered smart factories, Lu'an's innovation narrative is deeply integrated into every facet of industrial upgrading.

**Tackling Major Projects, Building a Solid Foundation for Development**

The workshop of Anhui Xiongbang Die Casting Co., Ltd. features massive die-casting machines, the largest of their kind introduced in the province. This technology enables the integrated molding of large, complex components, elevating regional smart manufacturing capabilities.

The company's general manager noted the rapid progress from signing to production, citing Lu'an's comprehensive support and precise "chain-based" investment services that facilitated quick integration into the local supply chain. As a highly automated facility supplying major automakers, Xiongbang represents Lu'an's entry into the era of large-scale die-casting for new energy vehicles.

The successful landing of major projects tests a region's industrial ecosystem and business environment. In Lu'an, such "chain projects" are common. A new investment model has encouraged supporting enterprises to follow leading companies, creating a cluster effect. Investors are attracted not only by location and space but also by the continuously improving industrial environment.

Today's investment structure determines tomorrow's industrial landscape. Adhering to the principle of "investment as the outline, projects as the core," Lu'an has fueled long-term industrial growth with a steady stream of high-quality projects. During the 14th Five-Year Plan period, the city commenced 1,190 industrial projects valued over 100 million yuan each, with 1,031 such projects becoming operational.

While expanding new capacity, Lu'an has also focused on revitalizing existing enterprises. Since 2021, annual investment in technological transformation has grown by 8.8%. Over 90% of major industrial enterprises have undergone digital upgrades, injecting new vitality into traditional sectors.

These efforts demonstrate that Lu'an is solidifying its foundation for high-quality development through major projects and precise industrial chain development.

**Upgrading Enterprise Services, Creating a Strong Business Environment**

A recent scene in Lu'an Economic Development Zone exemplified the city's commitment to service: officials delivered multiple construction permits directly to project managers, who praised the efficient, contact-free "cloud window" process.

This reflects Lu'an's user-centric approach to optimizing its business environment. Previously sequential approval steps are now streamlined and delivered as a package. Through proactive pre-review and parallel processing, departments have shifted from passive approval to active support. The "cloud window" provides full-service online guidance, significantly reducing approval times and enabling projects to start immediately upon land acquisition.

Optimizing the business environment is a long-term, systematic project for Lu'an. Building on years of improvements, the city launched the "Gao Xiao An Xin" service brand in 2025, aiming to make the brand synonymous with reliability. Sub-brands streamline administrative processes: business setup is typically completed in one day, supportive funds are distributed automatically, and integrated inspections have reduced check frequencies by 57%. Reforms have drastically reduced the need for in-person visits and shortened processing times.

Acting as a supportive partner for enterprises, Lu'an has actively secured state and provincial policy support, benefiting numerous projects. The city has introduced innovative financial products and established national and provincial-level service platforms for SMEs. An extensive entrepreneur training program has been implemented.

These sustained improvements in the business environment are translating into strong momentum for high-quality development. During the 14th Five-Year Plan period, the city's GDP consecutively surpassed several milestones, with an average annual growth rate of 6.4%. As the service philosophy permeates all government processes, Lu'an is increasingly becoming a hub for resource aggregation and a hotbed for innovation.

Looking ahead to the 15th Five-Year Plan period, Lu'an has charted its course: focusing on five leading industries while upgrading traditional sectors to accelerate the establishment of a modern industrial system with local characteristics.

At the foot of the Dabie Mountains, the path of industrial strength is becoming more solid. Between the Yangtze and Huai Rivers, a new chapter of high-quality development is being written. Driven by innovation and guided by intelligent, green, and integrated development, Lu'an will continue to achieve both substantial growth and qualitative improvement in its industrial economy.

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