Data Centers in Chengdu

Chengdu – Strategic Gateway to Western China Infrastructure

Executive Summary

Chengdu is the primary digital anchor for enterprises targeting the massive consumer base and industrial zones of Western China. It serves as a vital location for aerospace, digital finance, and high-tech manufacturing that require local presence to avoid the latency of backhauling traffic to coastal hubs.

Chengdu: At A Glance

Network & Connectivity Ecosystem

Carrier Density & Carrier Neutrality: Carrier count: over 5. As of September 2025, the market is served by major national providers and specialized regional players, offering a focused selection for local interconnection.

Direct Cloud On-Ramps: Over 0, enabling access to 0 cloud regions. As of September 2025, there are no direct on-ramps for major global providers within the city. Connectivity to AWS, Microsoft Azure, or Alibaba Cloud typically requires private extensions to Shanghai or Beijing.

Internet Exchange Points (IXPs): The Chengdu National Internet Exchange Center localizes traffic for the Western China region, reducing the need to route data through distant coastal exchanges as of September 2025.

Bare Metal: Resilient infrastructure options are available from global providers such as OVHcloud or Leaseweb as of September 2025.

Power Analysis

Average Cost Of Power: Industrial electricity is priced at $0.08/kWh as of June 2025. The energy mix consists of approximately 65% fossil fuels (mostly coal), 30% renewables including a significant hydro component, and 5% nuclear as of June 2025. These rates provide a stable cost base for power-intensive compute workloads.

Power Grid Reliability: The local grid is purpose-built to support heavy manufacturing and massive high-tech zones. It utilizes redundant substation support to ensure consistency for mission-critical infrastructure.

Market Access, Business & Tax Climate

Proximity To Key Business Districts: Data centers are positioned to serve the Tianfu Software Park and the Chengdu High-Tech Zone. This proximity is vital for low-latency communication with the regional headquarters of global electronics and software firms.

Regional Market Reach: Chengdu is the economic engine for Sichuan Province, providing an entry point to a market of over 80 million people. It serves as the logical hub for distributing digital services across the western interior.

Tax Advantage For Data Centers: While specific data center incentives are not active, the city offers a lower cost of entry compared to Tier 1 markets. This enables companies to scale their infrastructure with lower capital requirements for facility space and local operations.

Natural Disaster Risk

Overall Risk: Low (3.0/10) as of September 2025. The risk profile is manageable, with specific attention required for hydrological factors.

• River Flood (9.3/10): Significant risk due to the local river systems; facilities typically employ elevated equipment and drainage systems as of September 2025.
• Tsunami (9.0/10): This hazard is an indirect regional factor only and does not pose a direct threat to the metro area as of September 2025.
• Coastal Flood (9.0/10): This hazard is an indirect regional factor only and does not pose a direct threat to the metro area as of September 2025.
• Tropical Cyclone (7.8/10): Regional activity can impact external infrastructure even in inland locations as of September 2025.
• Earthquake (6.7/10): Seismic activity is a known factor in the province, requiring specific structural engineering standards for data centers as of September 2025.
• Drought (4.6/10): A moderate concern for cooling systems that rely heavily on water consumption as of September 2025.