Ulanqab hosts China’s largest AI industrial park

China has launched its largest artificial intelligence industrial park in Ulanqab, located in the Inner Mongolia Autonomous Region. The facility, anchored by Envision Group’s Galaxy Campus, became operational in early August. The 120,000-square-meter campus is designed to house up to 1 million AI accelerators with a target compute capacity exceeding 1 million petaflops.

Ulanqab has become a strategic hub for data centers due to its low temperatures, which reduce cooling costs, and its abundant wind and solar energy resources. The project aligns with Beijing’s ‘East Data, West Computing’ national strategy, which aims to relocate data-intensive workloads from eastern urban centers to resource-rich western regions. The facility aims to surpass 2 gigawatts of energy capacity through integrated renewables.

Major technology firms, including Alibaba, Huawei, and Tencent, already maintain infrastructure in the region. Additionally, the AI startup DeepSeek is reportedly in discussions to secure approximately 1 GW of AI data center capacity in Ulanqab. The development comes as China seeks to maximize computing output through massive infrastructure scale in response to international chip export controls.