Anshan's Tiexi district in Liaoning province is pinning its hopes for economic revival and urban transformation on a burgeoning sector — the pet industry — with its chief outlining an ambitious plan to harness this "furry fortune" for residents.

"Anshan's pet industry now boasts an annual revenue of about 4 billion to 5 billion yuan ($562 million to $702 million), and the district accounts for about two-thirds, making it an industry hub," said Ding Kunbin, head of Tiexi district, in an interview with China Daily.

Tiexi's idea to promote the pet industry stems from the need to transform its growth model. Once a key support zone for Ansteel Group, a State-owned steel maker, and a hub for industrial workers, it now exemplifies the broader industrial transition underway in Northeast China by cultivating emerging sectors such as the pet industry for economic diversification.

Ding said the city has several advantages for the pet industry development. Its climate offers a natural edge for pet breeding — the dry air and sharp seasonal shifts align with animals' fur growth cycles, yielding superior coat brightness and density compared with southern China, where breeders often rely on costly air conditioning for environmental control.

The industry's roots trace back to the 1990s, when laid-off workers from State-owned steel enterprises began home-based breeding operations. Later, entrepreneurs scaled up these efforts, accelerating the sector's growth. Today, a new generation is driving high-quality development through professional expertise and e-commerce.

"Home to China's most diverse canine gene pool, Anshan preserves around 200 breeds — far above the national average — including rare types unseen elsewhere. This rich resource enables the development of new breeds with enhanced health and aesthetic traits," Ding said.

With China's aging population and declining marriage rate, the pet industry holds immense potential. The 2025 China Pet Industry White Paper shows that China's urban pet population reached 120 million in 2024, a 2.1 percent year-on-year increase. The corresponding consumption market for dogs and cats was valued at 300 billion yuan.

In a coordinated push to bolster its emerging pet economy, Tiexi is developing a pet theme park and a pet-friendly hotel on Qianshan West Road, with both projects projected to break ground in 2026.

"These facilities aim to support the growing sector and enhance urban pet-friendliness by providing recreational space and solving accommodation challenges for out-of-town visitors traveling with pets," Ding said.

Meanwhile, Tiexi is advancing plans to establish an indoor pet transportation facility that aims to significantly enhance animal welfare and survival rates during transit. In partnership with airlines, the facility will relocate and integrate the pet waiting hall currently offered at Shenyang Taoxian International Airport.

"This initiative will create a dedicated hub for the entire preflight process, including quarantine, secure crating, waiting, and shuttle services directly to the aircraft," Ding said.

To concentrate operations and minimize neighborhood disruption and environmental impact, the district has implemented a clear industrial spatial layout, with the south focusing on pet breeding and the north on pet trading.

The district is guiding the initially spontaneous and large-scale pet industry toward high-quality and high-value development through spatial and industrial planning, detailed policies, and regulatory oversight.

So far, Tiexi has unveiled plans for centralized pet breeding bases. By converting areas such as urban villages and unused properties, the project will bring together scattered breeders — particularly larger ones — who currently operate as isolated farms.

"This consolidation is key to enforcing standardized practices, controlling the breeding environment, and effectively isolating disease outbreaks," Ding said.