China is enormous. The country is so big that the central government has created a city classification system, known as the City Tier system. The variation between the cities of China is immense. For example, the country is home to some of the wealthiest cities in the world, such as Shanghai, which records a population equal to that of Australia at about 24 million people, and a GDP that rivals the entire Philippines at US$469 billion. China is also home to much smaller, lesser-known cities like Gannan in the north-central province of Gansu, with a population of 710,000 whose GDP is recorded at US$2 billion. The Chinese City Tiers system reflects this situation.
This variation in wealth and population has lead to the Tier classification. Although this classification doesn’t tell you everything you need to know about a city, it can paint a clear picture of what you can expect. Where you choose to live and work can have a huge impact on your overall experience in China, hence the reason why salary is only one of several considerations you ought to keep in mind.
So let’s break down the Chinese City Tiers system…
What is the Chinese City Tiers classification system?
The most common system of ranking Chinese cities is to categorize them into four respective tiers.
China’s 600-odd cities are split into Tier 1, 2, 3 and 4 hubs with 1 being the largest, most populated and also most modern metropolis. Shanghai, Beijing, Guangzhou, and Shenzhen are the recognized Tier 1 cities. Tiers denote how well a city does financially (by GDP), how good the infrastructure is (Tier 1 cities are home to the best and biggest airports, for example) as well as the city’s location (how convenient it is for trading and travel).
Megacities on the coast, home to huge trading ports, outstanding airports and prime businesses (both local and foreign) will obviously rank higher than smaller cities that are a fair distance from an international airport or aren’t huge producers.
Technically speaking, China classifies its cities in almost 20 tiers, ,but when it comes to choosing the best places to work, you only ever need to consider Tiers 1 to 3. The most relatable way to discern these tiered is by population – this can tell you almost everything you need to know about what living there will be like. The below guide provided by Asia Briefing is very useful:
Tier 1 Cities in China
You can assume that Tier 1 cities will have the best schools, universities and teaching centres in the whole country (and the biggest expat populations). These cities usually have the most international restaurants, modern attractions, expat socializing opportunities busier vibes. Basically, these are true international cities (think London or New York).
Salaries here are generally the highest you’ll find in China, and although competition and work pressure can be a bit much, Tier 1 cities also have the highest living costs in the country. That being said, high living standards and salary should be considered. Tier 1 cities are not for everyone: the pace of life, daily commute and overall vibe can be overwhelming to the unaccustomed. But for many the speed and exhilarating bustle make up for the added pressures.
The Tier 1 cities in China are: Beijing, Shanghai, Shenzhen, Guangzhou.
Tier 2 Cities in China
The Tier 2 cities are regarded by many as a great balance of Tier 1 city benefits minus the potential overwhelming sensory overload. Tier 2 cities are usually pretty close geographically to Tier 1 cities , so you can easily hop-over to Tier 1 cities for the weekend or for vacation. Most Tier 2 cities still have all your little Western-style luxuries and all the superficialities you could ask for: they are still huge cities after all.
You will find that Tier 2 cities usually have smaller expat communities but, because the cities are slightly smaller you may find it easier to meet and make friends with fellow foreigners. Living in Tier 2 cities suits those who prefer a friendlier and more welcoming place to call home – not to mention a less stressful lifestyle. You may earn less than in Tier 1 cities but you will also spend less, which means more savings!
Some great Tier 2 cities to consider (although there are many) are Xi’an and Chengdu.
Tier 3 Cities in China
If you’re after a more full cultural immersion, then a Tier 3 city may be for you (and you can rent out a huge house with a backyard, just for kicks). For expats with a family, Tier 3 could be a solid option.
Tier 3 cities are seen as cultural hubs and best suited to those who want to move to China looking to make a decent living and enjoy a great lifestyle. They may offer fewer Western commodities, but Tier 3 cities can also be ideal if you don’t want to run the risk of living in an ‘expat bubble’. Tier 3 cities are still extremely varied, with big differences between a city of 150,000 to 3 million.
Some amazing Tier 3 cities include: Qingdao and Dalian.
Chinese City Tiers: Ultimately a guide, not an exhaustive tool
Chinese City Tiers classification continues to be a good reference point, but the system is by no means comprehensive and should not be used in isolation. Wherever you decide to live, be sure to do your homework, and explore as many resources as possible. No matter what you choose, you will enjoy your time in China (and remember, you can always move around!)