The Guangdong Model of Urbanisation: Collective village land and the making of a new middle class

In some parts of China – and especially in Guangdong Province in southern China – rural communities have retained ownership of much of their land when its use is converted into urban neighbourhoods or industrial zones. In these areas, the rural collectives, rather than disappearing, have converted themselves into property companies and have been re-energised and strengthened as rental income pours into their coffers. The native residents, rather than being relocated, usually remain in the village’s old residential area. As beneficiaries of the profits generated by their village collective, they have become a new propertied class, often living in middle-class comfort on their dividends and rents. How this operates – and the major economic and social ramifications – is examined through onsite research in four communities: an industrialised village in the Pearl River delta; an urban neighbourhood in Shenzhen with its own subway station, whose land is still owned and administered by rural collectives; and two villages-in-the-city in Guangzhou’s new downtown districts, where fancy housing estates and high-rise office blocks owned by village collectives are springing up alongside newly rebuilt village temples and lineage halls.

Learn More

Editorial

For the first time in history, more Chinese people now live in towns and cities than in rural villages. Reaching 51% in 2011, urbanisation in China is accelerating. Convinced that this holds the key to the country’s ongoing social and economic development, China’s leaders recently announced an urbanisation target of 70% (approximately 900 million people) by 2025. However, leaders including Premier Li Keqiang have emphasised that future urbanisation would be characterised not by an expansion of megacities (dushihua 都市花), but by growth in rural towns and small cities (chengzhenhua 城镇化). The Party is essentially seeking to take the cities to the rural populace rather than bring the rural populace to the cities. Following the policy announcement at the 18th Party Congress in November 2012, a group of national ministries has been tasked with developing guidelines for promoting the urbanisation of rural China.
In reality, this understudied dimension of China’s urbanisation has been underway for some time. Following the industrialisation of many rural areas along the coast and within distance of cities, many “villages” have grown to accommodate 30,000 or more workers. Today many of these villages, especially in the Pearl River Delta, have become urban-like nodes in an everwidening urban sprawl. Even in China’s agricultural heartland, vast numbers of county towns are becoming small cities, a process accelerated by the increasing concentration of public services in county towns and the expansion of industry in China’s inland provinces. In a separate thrust, in much of China, under the auspices of the Building a New Socialist Countryside programme (jianshe shehui zhuyi xin nongcun 建设社会主义新农村) that began in 2006, (1) government policies are encouraging whole villages to demolish their current housing and to move into communities of high-density townhouses, sometimes merging several villages in order to provide supermarkets, libraries, etc., in a replication of urban life. All of these forms of onrushing urbanisation are reshaping rural China – its landscape, culture, and social structures…

Learn More