Author: Jason Young, Victoria University of Wellington

Since the early 1980s, hundreds of millions of migrants have entered urban areas without full urban status. In conjunction with local industries these migrants put increasing pressure on the state to abolish the hukou system, which requires Chinese citizens to hold a valid residency permit. The state has responded by liberalising two key areas of hukou management but failed to address the fundamental issue of civic inequality.

Today, hukou remains an important governing instrument to promote economic development, maintain social stability and manage migration and urbanisation but these blunt development tools increasingly threaten to dampen the growing dynamism of Chinese society and economy. Read more…