BUCKING THE TREND
For decades, the development of China’s old industrial base, like Liaoning province where Fuxin is located, lagged behind other regions.
The housing crisis hit the region especially hard, unlike cities with stronger appeal, said Professor Lan Deng from the University of Michigan’s Taubman College of Architecture and Urban Planning.
“Their population has been shrinking, and the jobs have also declined. So now, you build a lot of housing, and then you have a much larger housing stock than what you know your population or economic opportunities can absorb,” she said.
In recent years, efforts to revive the local economy began to pay off. Last year, Liaoning logged gross domestic product (GDP) growth of 5.1 per cent, beating the national average.
In 2023, the province saw net population growth for the first time in more than a decade, with a net inflow of 86,000 people.
According to Fuxin real estate agent Xiao Zhang, the city’s location also plays a part.
“With transportation options so convenient, the distance to another city becomes very short,” said Mr Zhang, who works at real estate firm Fu Jia Fang Chan.
“People might say they can earn money from there and then look for a place not too far from their capabilities. In this case, they might be able to rent a place outside the city or even the company-provided accommodation,” he adds.
“However, if they live in a more prosperous city with higher wages, they still face the reality of higher living expenses and greater pressure right?”
Still, the influx of young people from outside Fuxin has stirred mixed feelings among its residents.
One resident told CNA that “a larger population helps a city develop further”, while another highlighted that “it could also drive up property prices, making it more expensive for locals to buy”.
Source: CNA
