World-class auto cluster attracts investors Wuhan industrial zone host to automakers, assembly plants, and parts manufacturers 2025-10-31    YUAN SHENGGAO

Impressive architecture dots the landscape of the Wuhan Economic and Technological Development Zone in Central China's Hubei province.

Voyah's Taishan SUV is among the cars built in Auto Valley.

The Wuhan Economic and Technological Development Zone, a dynamic hub built and thrived for the automotive industry, is becoming a sought-after destination for investors at home and abroad, thanks to its vitality and solid industrial foundation.

Located in the southwest of Wuhan, capital of Central China's Hubei province, the zone, known as Auto Valley, hosts a world-class auto and parts cluster.

There are 10 automakers, 14 assembly plants, and more than 1,400 component manufacturers in the zone, with annual new energy vehicle production exceeding 1.4 million units.

Measuring 500 square kilometers, the zone's GDP reached 221.65 billion yuan ($31.22 billion) in 2024, ranking it among the top 10 national economic development zones. In the first three quarters of 2025, its GDP grew by 6 percent year-on-year, outpacing Wuhan's average growth.

The zone has prioritized investment attraction, leading the city in contract value and foreign investment share. In the first three quarters, the zone signed 101 projects with a total contract value of 69.1 billion yuan. Of these, 82 new projects have commenced construction or operation, according to Xin Long, director of the investment promotion bureau of WEDZ.

A world-class automobile industrial cluster is WEDZ's hallmark and its core advantage in attracting enterprises, Xin said.

The zone hosts a cluster of major automakers, including the State-owned Dongfeng Motor, NEV startup XPeng, and Geely's sports car brand Lotus.

Geely's new Galaxy models have entered production in the zone, further diversifying the Auto Valley's NEV product lineup.

In the first half of 2025, the Auto Valley saw the launch of around 10 new models, including the Voyah new Dream MPV, Voyah Free+ SUV, M-Hero M817 off-roader, and Dongfeng Peugeot-Citroen Hedmos 06.These models have gained popularity in the domestic market and some are being prepared for export to international markets.

WEDZ is boosting automakers' global reach by hosting international promotion events. During a promotion event to France, an automaker advanced its export project.

The zone has launched several international freight routes, including China-Europe freight trains and a direct container shipping route to Nagoya Port in Japan, supporting automakers to reduce costs and improve efficiency.

Meanwhile, the zone places equal emphasis on automakers and parts suppliers, fostering a components industry cluster led by major players, such as Chinese battery provider CALB and German auto parts supplier ZF, Xin said.

"Among the over 100 projects signed this year, nearly 60 are related to the automotive industry," Xin added.

While consolidating the advantages of the auto industry, WEDZ has made forward-looking layouts in emerging industries such as autonomous driving and the low-altitude economy, and built a diversified industrial system.

Tang Chao, director of the management committee at WEDZ, said at a conference in mid-October: "We will continue to strengthen our position as the 'No 1 city for autonomous driving' and are promoting the coordinated development of the low-altitude economy and other sectors."

The zone has opened 3,487 km of intelligent connected test roads and deployed more than 1,100 autonomous vehicles, provided by Baidu's robotaxi service, Apollo Go. Collectively, it has served more than 4.6 million people.

"In the future, we will develop an urban intelligence platform, aiming to create a new society centered around Level 3 and higher-level intelligent driving," Tang said.

Leveraging Hubei province's largest airport and one of the world's largest single hangars, covering over 20,000 square meters, the zone has launched several commercial pilot routes. These include a short-distance passenger route from Wuhan to Shiyan and a blood transport route between Wuhan Blood Center and Wuhan Asia General Hospital.

WEDZ is also exploring the application of hydrogen fuel cells in drones, which could extend their flight time from 40 minutes to three hours and reduce refueling time from half an hour to just two to three minutes, according to Tang.

Rich resources

Talent and technological support as well as a high-quality business environment provide strong guarantees for enterprise development, said Tang, adding that Wuhan is rich in resources with more than 100,000 college students.

WEDZ has jointly established new research and development institutions with Huazhong University of Science and Technology, Wuhan University of Technology and other universities, enabling companies to efficiently obtain talent and technological resources.

To support enterprise development, a series of practical policies have been introduced in the zone. These include offering companies rewards for fixed-asset investments during the establishment phase to help reduce construction costs.

Additionally, companies that enter the vehicle procurement system are offered rewards.

The zone has also set up a 50-billion-yuan Auto Valley industrial development fund, which has invested more than 13 billion yuan in nearly 20 projects.

Recently, a 1-billion-yuan Auto Valley sci-tech innovation fund was established, focusing on the financing needs of technology-oriented small and medium-sized enterprises.

This fund features a longer duration and a higher risk tolerance, aiming to support innovative ventures in the sector, according to Tang.

Moreover, the zone offers rewards to strategic technological talents, industry-leading professionals, and outstanding executives.

It also provides incentives for R&D investment, intellectual property protection, and the establishment of joint industrial innovation laboratories.

By doing so, the zone seeks to drive sustainable growth and maintain a competitive edge in the industry.

As it continues to strengthen its status as an "Auto Valley" and expand opening-up, WEDZ stands ready to join hands with domestic and international partners, turning development potential into practical achievements and marching toward a more dynamic future of industrial innovation and win-win cooperation.