Data Centers in Wuxi

Wuxi – Strategic Hub for the Yangtze River Delta

Wuxi serves as a critical data center market for businesses requiring low-latency performance within the densely populated and economically vital Yangtze River Delta. It provides a cost-effective alternative to Shanghai for supporting manufacturing, IoT, and logistics operations, ensuring high-speed connectivity to one of China's primary economic engines.

Wuxi: At A Glance

Network & Connectivity Ecosystem

Wuxi's connectivity ecosystem is robust for domestic traffic, serving the dense concentration of industry and population in the Yangtze River Delta.

Carrier Density & Carrier Neutrality: The market features at least 2 data center operators, with access to all major national telecommunications providers, as of September 2025. Carrier-neutral facilities provide the primary interconnection points for enterprises connecting to multiple networks.

Direct Cloud On-Ramps: There are no direct public cloud on-ramps within Wuxi, as of September 2025. Businesses connect to the 0 cloud regions in nearby Shanghai via dedicated private network interconnects, including wavelength and MPLS services offered by national carriers.

Internet Exchange Points (IXPs): Public peering is not a major feature of the Wuxi market. Interconnection is primarily handled through private peering arrangements within data centers or routed through major national exchange points in hubs like Shanghai and Beijing.

Bare Metal: Bare metal server options are available in the broader region, typically deployed from larger hubs. Providers like Hivelocity offer solutions that can serve Wuxi-based workloads from nearby data centers.

Power Analysis

Wuxi benefits from China's extensive national power infrastructure, providing reliable and competitively priced electricity suitable for data center operations.

Average Cost Of Power: Industrial electricity is priced at approximately US$0.08/kWh, as of Q2 2025. This competitive rate helps manage operational expenses for high-density computing. The national energy mix is dominated by fossil fuels (~65%), with a growing share from renewables (~30%) and nuclear (~5%).

Power Grid Reliability: The power grid serving Wuxi's industrial and technology zones is modern and stable. Data centers are supported by redundant power feeds from multiple substations, ensuring high levels of uptime for mission-critical infrastructure.

Market Access, Business & Tax Climate

Wuxi is strategically positioned within one of the most economically productive regions in the world.

Proximity To Key Business Districts: Data centers in Wuxi offer low-latency access to the city's numerous high-tech industrial parks, advanced manufacturing facilities, and IoT development centers. Its proximity to Suzhou and Changzhou creates a cohesive technology and industrial corridor.

Regional Market Reach: The market is an ideal location for serving the entire Yangtze River Delta, a region with over 150 million people. It provides an excellent base for disaster recovery for deployments in Shanghai while actively serving a vast local user base.

Tax Advantage For Data Centers: China currently does not offer specific tax incentives for data center construction or operation. The primary financial advantage comes from competitive operational costs, such as power, rather than direct tax breaks.

Natural Disaster Risk

Wuxi has a low overall risk profile, with an INFORM Risk score of 3 out of 10, as of September 2025. The area's primary environmental hazards are related to its location on a major river delta plain.

Key natural hazards include:

• River Flood: High risk (9.3/10) due to its location on the Yangtze River delta and proximity to Lake Tai.
• Coastal Flood: High risk (9/10) from storm surges that can impact the delta region.
• Tropical Cyclone: Significant risk (7.8/10) during the typhoon season.
• Earthquake: Moderate risk (6.7/10), though the region is not one of China's most active seismic zones.