Abstract: Amidst the restructuring of the world order, China has proposed expediting the implementation of a “dual circulation” development pattern. One of the crucial strategies for achieving it is to scientifically guide the redistribution of domestic value chains across different regions. Moreover, as an essential conduit for energy and resources and a vital processing base for primary products in China, Xinjiang is playing an increasingly significant role as a gateway, transit point, and hub in the “dual circulation” development pattern. Thus, based on the proposed new measurements for industry relocation, this paper estimates the value of industry relocation between Xinjiang and other provinces in China from 2012 to 2017, exploring the heterogeneity of the relocation path for Xinjiang’s typical labor-intensive industry, “textiles”, and capital-intensive industry, “metal smelting and calendaring products”. Empirical findings show that, for labor-intensive industries with high employment, Xinjiang should continue to participate in industry relocation driven by both intermediate inputs and final products, and transform the industrial upgrading mode from the market share expansion to the industrial chain extension; for capital-intensive industries with high energy and resource inputs, the focus should primarily be on increasing industry relocation driven by final products, while also extending and complementing the industrial chain of core products.

Key words: industry relocation, input-output technique, Xinjiang, textiles, metal smelting and calendaring products