Incentives Active Policy

Chengdu-Chongqing — Western Region FDI Development Zone

Published: March 25, 2026

Executive Summary

As part of the "Western Development 3.0" strategy, Chengdu and Chongqing jointly launched a cross-city FDI development zone with enhanced incentives for foreign investors in logistics, clean energy, electronic information, and modern agriculture. The zone bridges the two megacities and leverages the China-Europe Railway Express hub.

Key Points

1

CIT reduction: qualified enterprises in the zone enjoy 15% CIT rate (western region incentive)

2

Land costs: industrial land priced 40-60% below coastal equivalents

3

China-Europe Railway: dedicated freight capacity allocation for foreign-invested manufacturing exporters

4

Dual-city benefits: companies registered in either city can operate seamlessly across both jurisdictions

5

Clean energy: preferential electricity rates from Sichuan hydropower grid for energy-intensive industries

6

Talent: housing subsidies of up to RMB 300,000 for relocating technical personnel