A visitor poses for a photo in the Horqin Sandy Land in Hinggan League, Inner Mongolia Autonomous Region, on 29 July (HU FAN)

Twenty years ago, during an inspection tour of Yucun, a heavily polluted village in Zhejiang Province, Xi Jinping, then secretary of the CPC Zhejiang Provincial Committee, put forward a profound idea: “Lucid waters and lush mountains are invaluable assets.” This insight, now widely known as the “Two Mountains” theory, has since become a cornerstone of Xi Jinping Thought on Ecological Civilisation. It redefined the relationship between economic growth and environmental protection, promoting a model where ecology and economy reinforce one another. 

What began as a local experiment has grown into a national strategy, written into both the Constitution of the Communist Party of China and Chinese law. Its effectiveness can be seen most vividly in Inner Mongolia Autonomous Region, where the balance between environmental protection and economic transformation is both urgently needed and actively pursued. 

Inner Mongolia offers both opportunities and challenges. It is home to China’s largest forests, grasslands, and wetlands, as well as abundant coal, wind, and solar resources that power the traditional and emerging industries. Yet the region has long suffered from fragile ecosystems and environmental degradation. It has four deserts, more than any other province-level region, as well as several large pockets of sandy land. 

Guided by the Two Mountains theory, Inner Mongolia has strengthened ecological restoration while maintaining growth. Since 2012, the region has completed afforestation on 9.9 million hectares, restored 24.5 million hectares of grasslands, and controlled 12.3 million hectares of desert – all ranking first nationwide. Forest coverage and grassland vegetation have steadily increased, while desert and sandy land areas have declined. 

These ecological gains have gone hand in hand with economic growth. In 2024, Inner Mongolia’s GDP surpassed 2.6 trillion yuan ($365.4 billion), up 5.8 percent year on year, and growth has outpaced the national average for three consecutive years. How has Inner Mongolia managed this dual success? Several lessons stand out. 

First, traditional industries are undergoing a green transformation. In Tongliao, renewable energy has become the backbone of the energy sector, providing power to the aluminium industry, itself adopting cleaner and more efficient smelting technologies. In the Horqin Sandy Land, wind and solar projects are combined with desert control, creating both economic and ecological benefits. In 2024, Inner Mongolia led the nation in installed renewable capacity, new capacity additions, and power generation, becoming the first region where total installed renewable capacity exceeded 100 million kw. 

In Hulun Buir, traditional animal husbandry is also undergoing transformation. By developing the forage industry and promoting stall-feeding, pressure on natural grasslands is being reduced. At the same time, efforts are being made to build strong brands and move up the value chain, enhancing the market value of livestock products and boosting the incomes of local people. 

Second, new growth drivers are emerging. In Yakeshi, forest farms have moved beyond conservation to develop eco-tourism and under-forest planting, adding another source of income. In Baogeda Mountain Forest Farm, carbon sink projects are turning ecological value into economic gain, while in Ergun, home to Asia’s largest wetland, efforts are underway to incorporate wetlands into carbon credit frameworks.  

Third, participation is universal and benefits are shared by all. In the Horqin Sandy Land, farmers and herders are key players in desert control projects, contributing labour or investing in cooperative ventures and receiving returns. In Arxan, tree planting and forest protection have been passed down for four generations, creating both environmental and social value. In Hulun Buir, reforms have turned ecological assets into shares, making farmers and herders stakeholders entitled to dividends. Integrated reforms in production, supply, and credit services have further eased rural livelihoods. 

The road ahead remains challenging. Inner Mongolia still faces the dual tasks of protecting fragile ecosystems and maintaining economic momentum. Yet the region’s experience demonstrates that ecological protection and economic development can reinforce each other, offering lessons not only for China but for the wider world.