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The poor development of the circulation industry in rural areas of western China is a major issue restricting the economic development of the region. This paper analyzed the development of circulation industry in western China and the mechanism of circulation industry and targeted poverty alleviation. And it concluded that to solve the problem of overall poverty in the areas, we must optimize the supply chain of agricultural products, make the channels of rural circulation unimpeded, and cultivate compound logistics talents and implement the strategy of combining electric merchants with the implementation of the new poverty alleviation model of “Internet + logistics + poverty alleviation”. We can improve the poverty alleviation in the western rural areas through the optimization of the circulation system. Keywords—targeted poverty alleviation; circulation system;

On Optimization and Innovation of Rural Circulation System in Western China under the Targeted Poverty Alleviation Strategy