Kathmandu— Once an inland province known for labor outflow, Anhui in east China has transformed into a magnet for researchers and entrepreneurs focused on cutting-edge technologies like quantum computing, hydrogen energy, and advanced medical treatments. The province’s commitment to long-term planning and sustained institutional support has fueled rapid growth in high-tech manufacturing, with sectors such as electronic information and automobiles driving over 70% of industrial expansion during the first half of 2026. This transformation is being achieved through strategic investment in key industries, commercialization of scientific breakthroughs, and collaborative efforts between provincial and municipal governments.

From Tea Fields to Hydrogen Stations

Lu’an, a city traditionally known for tea production, now hosts China's first megawatt-class hydrogen energy demonstration station. This facility converts electricity into hydrogen and vice versa, regulating grid stability while reducing carbon emissions by approximately 1,889 tonnes annually. Mingtian Hydrogen Energy Co., Ltd., founded in Lu’an in 2017, partnered with the State Grid to establish this power station, benefiting from long-term provincial policies and dedicated industrial funds.

Wang Chaoyun, chairman of Mingtian Hydrogen Energy, emphasized the importance of proactive government support, recalling how Anhui's clear hydrogen industry plan reassured investors despite initial skepticism about the technology. Overcoming supply chain challenges – including importing key components like air compressors – required collaboration between enterprises and research institutes, such as a physical sciences institute under the Chinese Academy of Sciences which developed a crucial centrifugal air compressor.

The city government further mitigated financial risks through insurance partnerships for R&D investment and pioneered hydrogen fuel cell buses, providing both operational experience and commercial validation for Mingtian Hydrogen Energy.

Commercializing Scientific Breakthroughs

Anhui is not only supporting existing tech companies but also accelerating the commercialization of technologies originating from large scientific facilities. The Hefei Ion Medical Center is preparing to launch a domestically developed superconducting proton therapy system, derived from core technologies used in the Experimental Advanced Superconducting Tokamak (EAST), China’s “artificial sun.” This advanced radiotherapy method promises more precise tumor targeting and reduced radiation damage compared to conventional treatments.

The impact of these spinoffs extends beyond healthcare; terahertz scanners, also originating from EAST fusion project technology, are now deployed in Hefei's subway system, enhancing security by detecting previously undetectable prohibited items. The Anhui Innovation Hall serves as a central hub for showcasing over 2,700 international achievements and facilitating transactions, supported by a network of over 5,100 trained “technology managers.”

Strategic Investment in Industrial Chains

Hefei’s investment strategy focuses on building robust industrial chains rather than simply betting on individual companies. A 6 billion yuan investment in BOE Technology Group Co., Ltd. in 2008 addressed a local shortfall in liquid crystal displays, establishing China's first homegrown supply chain. Similarly, a 7 billion yuan injection into NIO China in 2020 anchored the electric vehicle maker’s headquarters and expanded its Anhui-based supplier network from 60 to nearly 150 companies.

This approach has fostered national-level strategic emerging industrial clusters in areas like new display technology, integrated circuits, and AI. Bengbu City is also cultivating its own strengths in integrated circuits and new materials, achieving breakthroughs in brain-computer interface (BCI) technology that offers potential for restoring independence to paralyzed patients. Cui Shihua, deputy director of the Bengbu high-tech zone’s management committee, highlighted how each city builds on local strengths with support from both provincial and municipal levels.

Provincial Coordination Drives Growth

As of the first quarter of 2026, Anhui's ten provincial-level future-industry pilot zones had generated over 93 billion yuan in total industrial-chain output. This success is attributed to long-term planning and funding at both provincial and municipal levels, ensuring differentiated competition and collaboration between cities. The coordinated approach prevents redundant construction and allows each region to specialize in areas where it has a competitive advantage.

Anhui’s commitment to fostering innovation and strengthening industrial chains positions the province as a key driver of China's high-tech future, with continued investment expected across quantum information, fusion energy, and deep-space exploration.

(With inputs from Xinhua)

Originally published on abcnews.com.np.