by Marco Gioacchino Pistrin, CEO, AquaOrganica SRL, Italy
While Western nations debate whether aquaculture belongs on land or at sea, China has already answered the question. Offshore, on ships, on land and wherever else produces protein efficiently enough to feed 1.4 billion people.
China’s aquaculture industry doesn’t do incremental change; it does industrial revolution. The numbers tell a story that should make every other producing nation pay attention: 58.1 million metric tonnes of aquaculture production in 2023, accounting for over 60 percent of global output. Nope, that’s not a typo! More than half the world’s farmed aquatic species come from Chinese waters, ponds and, increasingly, from facilities that look more like mega intergalactic spaceships than fish farms.
The species powering an industry
China’s aquaculture dominance isn’t built on exotic species or boutique production. It’s built on carp—millions of tonnes of carp. Grass Carp, Silver Carp, Bighead Carp and Common Carp collectively represent the backbone of Chinese freshwater production, with over 15 million tonnes produced annually. Yes, these are the same ones that are currently taking over North America. The ones that fly into your boat when traversing the mighty Mississippi! Regardless, these cyprinids, domesticated over millennia and perfected through modern selective breeding programmes, generate more biomass than all the salmon farms in Norway, Chile and Scotland combined.
But the industry’s diversity extends far beyond carp. Tilapia production reached approximately 1.8 million tonnes in 2023, concentrated in Guangdong, Hainan, Guangxi, Yunnan and Fujian provinces, regions that collectively account for 97 percent of national output. Crustacean production hit 7.38 million tonnes, with Chinese farmers producing 2.24 million tonnes of Pacific White Shrimp (Penaeus vannamei) alone, making China the world’s largest shrimp aquaculture producer – and consumer!
Mollusk cultivation represents another industrial achievement: 13.58 million tonnes annually, with shellfish production in Shandong, Fujian, Liaoning, Guangdong, Zhejiang and Guangxi accounting for 93 percent of total output. Macroalgae farming, primarily kelp, adds another two million tonnes. These aren’t artisanal operations; they’re industrial-scale protein factories optimised for efficiency and output.
The geographic powerhouses
Chinese aquaculture isn’t uniformly distributed; it’s concentrated in provinces that have transformed their coastlines and waterways into production engines. Shandong, Fujian, Liaoning, Zhejiang and Guangdong collectively produced 16.1 million tonnes of processed seafood in 2023, representing 73 percent of national totals. These provinces don’t just farm fish; they’ve built complete value chains encompassing hatcheries, feed mills, processing facilities, cold storage and export infrastructure.
Shandong Province leads marine aquaculture development, leveraging its extensive coastline along the Yellow Sea to pioneer offshore and deep-sea farming technologies. Fujian Province, with the strongest industrial foundation scores in competitive analysis, has developed particularly robust resource endowments for marine fish farming. Guangdong Province operates the largest aquaculture area in the country, though interestingly produces less per hectare than Fujian, a reflection of different species mixes and farming intensities.
Inland provinces have joined the revolution through freshwater aquaculture. Guangdong, Hunan, Hubei, Jiangxi, Anhui, Jiangsu and Sichuan dominate pond and freshwater production, with the Yangtze River basin and Pearl River Delta serving as aquatic production centres that rival entire nations’ output.
Five megaprojects transforming Chinese aquaculture
China’s salmon ambitions represent something unprecedented: a nation with no salmon fishing tradition attempting to become a major producer through pure technological force. The government sees this not as aquaculture, it’s import substitution strategy powered by RAS facilities and clever offshore engineering.
- Nordic Aqua (Ningbo) – the RAS pioneer
Located in Xiangshan, this facility represents China’s first major land-based Atlantic salmon operation. Phase I is operational at 4000 tonnes capacity. Phase II, adding another 4000 tonnes, nears completion. Phase III frameworks were signed in late 2024, with total capacity targeting 20,000 metric tonnes annually.
Capital structure tells the strategic story: originally wholly Norwegian-owned, the operation transitioned to a China-Norway joint venture in December 2024 when state-owned enterprises Ningbo Ocean Development Group and Xiangshan Strait Economic and Technological Cooperation invested CN¥300 million (US$42 million) for 20 percent equity. The government’s involvement declared the project a “key pillar” of regional marine economy, with goals to build “Asia’s leading land-based salmon farming hub.”
- Shenlan 2 – the deep-sea leviathan
Launched in Qingdao in January 2024, Shenlan 2 represents approximately CN¥5 billion (US$700 million) in investment from Shandong Ocean Group, Wanzefeng Group and Qingdao Ocean Investment Group. This submersible cage structure stands 71.5 metres tall, equivalent to a 20-story building, with 70 meters diameter encompassing 90,000 cubic-metres. Designed capacity: one million salmon simultaneously.
This is the highest technological level salmon farming on planet Earth. It is algorithmic aquaculture at offshore scale! Production targets weren’t publicly disclosed, but industry analysts estimate 8000-10,000 tonnes will be produced annually once fully operational.
- Suhai No. 1 – the floating factory
Launched in April 2025, this 250-metre vessel converts the aquaculture model entirely. Rather than fixed infrastructure, Suhai No. 1 operates as a mobile production platform in Yellow Sea waters. Eight thousand tonnes of salmon will be produced annually, and the vessel’s mobility allows seasonal repositioning – south in winter and north in summer. Thus, maintaining optimal temperature ranges of 14-28°C year-round without energy-intensive cooling systems that burden land-based facilities.
Investment figures remain undisclosed, but offshore aquaculture expert Alan Cook’s analysis suggests Chinese offshore projects achieve similar capex per kilogram as Western RAS facilities, while potentially offering better operational economics through reduced energy consumption and higher productivity.
- Zhedai Yuyang 60001 – the converted tanker
Senhai Mako Marine Science and Technology’s approach: convert existing bulk tankers into aquaculture vessels. The first conversion, Zhedai Yuyang 60001, targets 2800 metric tonnes annually with estimated revenues of CN¥120 million (US$16.8 million). Chairman Pan Yongjun notes conversion costs run approximately 70 percent below land-based RAS construction costs which is a “direct attack,” as Alan Cook describes it, on Western salmon producers’ cost structures.
Two additional tanker conversions are planned. If the model proves economically viable, expect rapid scaling. China has tanker shipbuilding capacity and maritime expertise that dwarfs Western competitors.
- Red Flag Modern Fishery Industrial Park (Rizhao)
While not exclusively salmon-focused, this CN¥260 million (US$36.4 million) RAS facility in Rizhao demonstrates government commitment to high-value species cultivation. The 30,000-square-meter facility, built by state-owned Donggang Water Group, farms primarily grouper and sea bass using modern recirculating technology.
What makes this super innovative is that the facility includes agritourism components – glass corridors for viewing fish, feeding experiences for visitors and seafood restaurants – all to create diversified revenue streams. It’s part of a broader CN¥6.71 billion (US$939 million) three-year Rizhao investment program restoring 21.8 kilometres of shoreline and 6000 acres of wetlands. This is aquaculture development packaged with environmental restoration as a combined target outcome. This has been under the gaze of many public and private investors and stakeholders and is regarded as a project that Western regulators are very keen on studying deeper.
Government as strategic partner
China’s aquaculture expansion reveals a fundamentally different regulatory philosophy. Rather than imposing restrictions, the government identifies strategic priorities and deploys capital, expedited permitting and direct subsidies to achieve them. The 2024 ‘Number One Document’ from the Ministry of Agriculture and Rural Affairs prioritises “industrial scale” RAS development, offshore aquaculture expansion and transitions away from traditional low-intensity pond systems.
Government subsidies typically cover 30-40 percent of new project investment costs. State-owned enterprises provide majority financing through direct investment or subsidised credit facilities. Classification as ‘poverty alleviation’ or ‘strategic development’ projects brings additional benefits: tax incentives, land leases on favourable terms and streamlined environmental approvals.
The permitting approach reverses Western norms. Where North American regulators ask “should this be allowed,” Chinese authorities ask “how do we make this work.” Projects like Nordic Aqua received priority classification, dramatically accelerating construction timelines. Local governments compete to attract aquaculture investment, offering infrastructure improvements and utility rate subsidies.
The result? While Washington State debates sea cage bans and British Columbia struggles with permit applications that take years, China constructs 20,000-tonne RAS facilities and launches 71-metre offshore cages in timeframes measured in months, not decades.
The strategic push
China’s aquaculture push isn’t about market share—it’s about protein security. Importing salmon from Norway or Chile means relying on international supply chains vulnerable to disruption. Domestic production means food sovereignty. The government’s willingness to absorb early losses on salmon projects reflects this strategic view: short-term economics matter less than long-term capacity.
Whether Chinese salmon production achieves cost parity with established exporters remains uncertain. Early projects operate with significant subsidies that mask true production costs. But dismissing Chinese aquaculture ambitions because current economics don’t work is precisely the mistake competitors made in solar panels, batteries and steel. State-backed industrial policy, deployed at scale over decades, tends to win.
The West can debate whether this represents fair competition or market distortion. What’s indisputable? While others talk about aquaculture’s future, China is building it—one massive offshore cage, one mega land-based facility and one converted tanker at a time.
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Images & Captions
- Adobe Stock file number: 1722432463
Grass Carp
- Adobe Stock file number: 282908690
Fish farm in the sea, fenced with round net.
- Adobe Stock: 331098272
Fingerlings in a hatchery incubator.
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Aquaculture in Dongshan. Photo by Windmemories / Wikimedia Commons / CC BY-SA 4.0
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Nordic Aqua (Ningbo), China
