Xinjiang Production and Construction Corps

The XPCC draws from the traditional Chinese tuntian system, a policy of settling military units in frontier areas so that they become self-sufficient in food, and similar policies in the Tang and Qing dynasties. Construction corps were set up for sparsely populated frontier regions, including Heilongjiang, Inner Mongolia, and Xinjiang.

After the Chinese Communist Party took control of Xinjiang in 1949, People's Liberation Army (PLA) forces deployed into Xinjiang were commanded to start production in the area. In 1953, PLA there were separated into National Defense and Production Divisions. XPCC was formed from soldiers from First Field Army, Kuomintang, and from the local Ili National Army.

In October 1954 the Production Division was ordered by the Mao Zedong to form People's Liberation Army Xinjiang Production and Construction Corps in 1954. XPCC was founded by Wang Zhen. It initially comprised 175,000 military personnel, led by Tao Zhiyue as its first commander.

XPCC was initially focused on settling, cultivating, and developing sparsely populated areas, such as the fringes of the Taklamakan Desert and the Gurbantünggüt Desert, under the principle of "not competing for benefits with the local people". It provided a reserve military force, although they were not called upon. XPCC was expanded by youth from other parts of China, to equalize its sex ratio and include members with better education. In 1962, after the Sino-Soviet split, rioting occurred in Yining and 60,000 ethnic minorities living near the border fled to the Soviet Union. The Chinese government feared that the USSR was trying to destabilize China and start a war. XPCC was ordered to cultivate the farms of the exiles.

The XPCC was severely damaged by the Cultural Revolution. In 1975, it was abolished completely. Its powers were transferred to the government of Xinjiang and regional authorities. After the Soviet Union invaded Afghanistan in 1979, and the Islamic movements gained force, fears of Soviet encirclement and Islamic fundamentalism led to the re-establishment of the XPCC in 1981 as well as the cultivation of frontier lands and economic development. It became subject to separate planning by the state directly in 1990. During the 1990s, XPCC began to contribute significantly to Xinjiang's economy, producing 40% of the region's cotton in 1997. After 2008, as a result of improvements in farm mechanization, students were no longer compelled to pick the cotton crop.

Starting in the 1980s, a stated task has been to prevent and break down "destructive activities of the three forces", (separatism, religious extremism, and terrorism), in order to protect social stability and national unity. In 2012, XPCC generated 11.1 billion yuan from the 37 settlements they control, "allowing the Corps to spread advanced culture and Chinese culture, while taking in and infusing culture of ethnic minority in Xinjiang".

At the end of the 20th century, XPCC's military role was given instead to the Xinjiang Military District, a part of the current Western Theater Command that includes all of western China. XPCC military personnel are mostly reservists or militia.

United States

XPCC was sanctioned by the United States in 2020, citing alleged human rights abuses. United States Commission on International Religious Freedom Commissioner Nury Turkel remarked, "Now, no business can claim ignorance of China's oppression of the Uyghur people. We hope the sanctions signal to other Chinese officials that there are costs associated with taking part in the Communist Party's repression of religion. The world is watching and we know which officials and entities are responsible for the abuses against the Uyghur people." Turkel added:

The XPCC has thousands of subsidiary companies. The Center for Advanced Defense Studies has identified 2,923 subsidiaries. Currently the XPCC has eleven publicly traded subsidiaries. They are:

Xinjiang Baihuacun Co., Ltd. (新疆百花村股份有限公司) (百花村, 600721.SS) – primarily information technology

Xinjiang Tianye Co., Ltd. (新疆天业股份有限公司) (新疆天业, 600075.SS) – primarily plastics

Suntime International Economic-Trading Co., Ltd. (新天国际经贸股份有限公司) (新天国际, 600084.SS) – primarily international trade

Settlements

The XPCC has settled Han in Xinjiang and has built eleven medium-sized cities during its history, and now controls ten of them. The governments of these cities are combined entirely with the division that controls them. For example, the division headquarters is the same entity as the city government, the division political commissar the same person as the city committee secretary, the division commander the same person as the city's mayor, and so forth. Ten XPCC-administered cities are nominally listed as "sub-prefectural-level cities" of Xinjiang, but the local government is usually not involved in the administration of these cities.