From Xinhua via Shanghai Daily (link):
CHINA’S regions and provinces are seeking to lure investors with green, clean projects in a bid to move away from traditionally polluting industries.
Zhenping County, in northwestern Shaanxi Province, is seeking to avoid polluting industries in favor of food or herb processing.
Since China launched the strategy to develop its west in 2000, the region has opened to an increasing number of industrial plants, some of which are threatening the fragile ecological environment.
In February, a newly built chemical plant in northern Shaanxi, discharged more than 2,000 tons of waste water into a nearby river, contaminating local drinking water. The plant was introduced by the local government to promote development.
See also “China’s Environmental Issues” by DOE (link)
And “Environment of China” at Wikipedia (link)