Economy

Based on its advantageous location and rich natural resources such as rare metal and clean energy, Qinghai attracted investors from all around the world.

In the year of 2018, Qinghai's GDP exceeded 286.52 billion yuan ($40.72 billion) with 7.2 percent annual growth. The added value in the primary industry reached 26.81 billion yuan, increasing by 4.5 percent; that in the secondary industry was 124.71 billion yuan, increasing by 7.8 percent; that in the tertiary industry was 135 billion yuan, increasing by 6.9 percent. Primary industry accounted for 9.4 percent of the 2018 GDP, secondary industry 43.5 percent and tertiary industry 47.1 percent. 

Pillar industries 

Power generating industry

Located in northwest China, Qinghai is powered by wind, solar and hydropower. The province has 178 hydropower stations with a total installed generation capacity of 21.66 million kw. In terms of the solar power, Qinghai topped the annual generation capacity of 11.3 billion kwh in 2017. 

Petroleum and natural gas

The exploitation of mineral resources has long constituted a major component of the province’s economy. Petroleum and natural gas reserves are located in the Qaidam Basin, which contains most of the province’s mineral reserves. The added value of the industry witnessed a sustainable growth increasing by 4.8 percent year-on-year. 

Salt chemical industry

One of the most striking features of Qinghai is its astonishing salt lakes, represented by Qinghai Lake, the largest saltwater lake in China. The province has more than 30 salt lakes, providing rich reserves of sodium chloride, potassium chloride, magnesium salts, lithium chloride and strontium ore. Potassium salt in Qinghai accounts for 79 percent of national reserves and magnesium salt accounts for 93.5 percent. 

Non-ferrous metal industry

Generally more costly than ferrous metals, non-ferrous metals are used because of its desirable properties such as low weight (e.g.aluminium), higher conductivity (e.g. copper), non-magnetic property or resistance to corrosion (e.g.zinc). As a province rich in nonferrous metals and non-metallic minerals, Qinghai has an output of 1.14 million tons of aluminum in the first six months of this year, making it a major domestic metal smelting and deep processing base. The added value of the industry rose by 6.7 percent year on year. 

Tourism industry

As an important post along the ancient Silk Road linking Tibet autonomous region and Xinjiang Uygur autonomous region, Qinghai has seen rapid tourism growth, with tourists increasing by 21.1 percent to 34.84 million people in 2017. The total revenue hit 38.15 billion yuan, up 23 percent year-on-year. Qinghai Lake, the largest saltwater lake in China, is among the hottest tourist attractions.