Located in the southwest of Shanghai's central urban area, Xuhui district covers a total area of 54.93 square kilometers. Guided by the vision of becoming an "Innovative Xuhui, Quality Urban Area", the district is developing a modern industrial system centered on "1+5+X" industries while advancing its urban spatial structure under the framework of "One Belt, One Axis, and Five Functional Zones". It aims to establish itself as a national and global artificial intelligence hub and develop a leading demonstration area for AI applications, contributing to Shanghai's goal of becoming a modern socialist international metropolis with global influence.

During the 14th Five-Year Plan period (2021-25), Xuhui's regional GDP ranked first among Shanghai's central urban districts, while paid-in foreign investment increased by 79.2 percent from the end of 2020. The district is home to China's first foundation model innovation center, the SMC Shanghai Foundation Model Innovation Center, and more than 1,500 AI companies. It also hosts 175 regional headquarters of multinational companies and foreign-invested R&D centers. Xuhui also ranks first in Shanghai in high-value invention patents per 10,000 people.

Key Industries

Xuhui is developing an industrial system of "1+5+X", with AI as its leading industry.

Its five advantageous industries are:

• Life science and healthcare
• Cultural creativity
• Modern commerce and trade
• Professional services
• Sci-tech innovation finance

The district is also developing a range of future-oriented industries, forming a diversified industrial structure around emerging technologies and new growth areas.

Development Priorities

During the 15th Five-Year Plan period (2026-30), Xuhui will focus on four major areas:

• Major progress in high-quality development
• Leap in capacity as a source of sci-tech innovation
• Improvement in social development and civility
• Breakthrough in high-level reform and opening-up

These priorities aim to further strengthen Xuhui's innovation capacity, improve the quality of urban and social development, and advance reform and opening-up.

Spatial Development

Xuhui is developing a spatial structure of "One Belt, One Axis, and Five Functional Zones". The framework includes the Grand Xujiahui Functional Area, Caohejing Development Zone Extended Functional Area, Xuhui West Bund Functional Area, Xuhui Central City Functional Area, and Huajing Gateway Functional Area, aiming to promote coordinated development across the district.

Through AI-led industrial development, a diversified industrial structure, and integrated spatial planning, Xuhui is advancing the development of a high-quality urban area and strengthening its role in Shanghai's innovation-driven development.

Updated in October 2026

Source: 2026 Shanghai Investment Guide