The Shanxi Transformation and Comprehensive Reform Demonstration Zone, which consists of eight national and provincial industrial parks in the cities of Taiyuan and Jinzhong in North China's Shanxi province, has been committed to industrial transformation by promoting technological innovation, investment and construction projects since its establishment in 2017.

The zone has made efforts to build four 100-billion-yuan ($15.62 billion) industrial clusters for precision electronic manufacturing, synthetic biology, photovoltaic industry, and modern services, and 10-billion-yuan emerging industrial clusters for IT application innovation, silicon carbide, sapphire, high-end equipment, and new materials. 

The country's largest manufacturing base for silicon carbide substrate materials for the third-generation semiconductor, largest artificial intelligence labeling center and largest high-speed rail wheelset production base have been established in the zone.

Competitive companies such as Foxconn, Dawning Information Industry Co, and JD have expanded their businesses in the zone as well, contributing to local industrial upgrading.

As a result, the regional gross domestic product (GDP) of the Taiyuan part of the zone had an average annual growth of 11.9 percent from 2017 to 2019 and increased 6.3 percent year-on-year in 2020 despite the COVID-19 pandemic. 

In the first half of 2021, the GDP growth rate was 20.6 percent, ranking first among high-tech development zones in the provinces of Shanxi, Henan, Anhui, Jiangxi, Hubei and Hunan.