China’s 2 Richest Cities – Shenzhen & Hong Kong

For years Shenzhen has been the richest city in on the mainland. It's one of the biggest cities you've never heard of with a population of over 10 million people with a stock exchange, a subway system, parks, luxury hotels. Shenzhen is a factory town, the final assembly point of the iPhone and many other things in your house. The Taiwanese company responsible for iPhone assembly, Foxconn, has 800,00 employees in China, 400,000 of them in Shenzhen alone. 

30 years ago Shenzhen had a population of around 20,000. When Deng Xiaoping took over China after Chairman Mao finally shuffled off to that great collective farm in the sky he probably noticed how prosperous communism free Chinese places such as Hong Kong and Taiwan were and wanted to see what would happen if he allowed some of that capitalist evil in a corner of his kingdom. He did this first in Shenzhen and once the special economic zone was established money, factories and jobs poured over the border from higher wage Hong Kong. This transformed Shenzhen from absolutely nothing to a madhouse migrant city and Hong Kong from a city with a manufacturing economy to a city with a mostly service economy.

There's plenty of wealth out where people can see it in Shenzhen in the form of Audis, Mercedes, BMWs, Porsches and even a few Cadillacs. There's a fair amount of luxury cars tooling around on Shenzhen's wide streets with right hand drive and sets of license plates for both Hong Kong SAR and Guangdong province. While Shenzhen might be the richest city on the mainland it's the poor sister to the richest city in all of China, Hong Kong. It's a gigantic Tijuana with Hong Kong SAR playing the role of Asian San Diego. Shenzhen is a city built on hard work and other peoples money and it's paid off for many of the locals and investors. Glitzy wide shopping boulevards slowly dissolve into migrant laborer alley hells.

The women in Hong Kong are the picture of affluent fashion, their less well to do sisters in Shenzhen they seem to make it up as they go along.  After I saw the third woman in Shenzhen wearing thick, black Larry King frames without any lenses (I saw one woman stick a finger through the empty lens opening to rub her eye) I knew it wasn’t a one off aberration. 

Even with China's one child policy one thing that I've seen all over China are babies and pregnant women and Shenzhen is no exception. But due to the high cost of living babies in Hong Kong are few and far between. By day the familiar bellowing and barking of Chinese dialects on the mainland dissolves across the Hong Kong SAR border into another language. No, not Cantonese, the dialect most spoken in Hong Kong; it's the familiar puck-puck-puck of Pilipino. Hong Kong is packed with Filipinas. Although I'm sure they're out there somewhere it seems most of the male Filipinos are back home in Manila. Filipinas in Hong Kong serve as maids and nannies (as well as ply the world's oldest profession). Just as in Southern California the first words of a rich kid might be in Spanish, in Hong Kong his first words might be in Tagalog.

Unlike anywhere I’ve ever been in China, in Hong Kong you can drink the water straight from the tap. I drank Hong Kong tap and while it might be just a coincidence within 24 hours I had a roaring case of Chairman Mao's revenge. I knew I that eau de tap was graded as fit for human consumption the minute I went to a 7/11. In China 550 ml (roughly a pint) of bottled water can cost under .15 US, in fashionable Hong Kong it's .75 to a $1 US. Hotels in China usually spot their guests 2 bottles of water, in Hong Kong you can get all the water you want straight from the tap.

Hong Kong’s MTR is perhaps the best subway system in the world and riding it is a breeze.  The announcements are in 3 languages; Cantonese, Mandarin and British English.  Click here  and here for samples.

My Life as a Tourist in China

I first went to China on a lark. In 1982 I was in Hong Kong with some time on my hands so I arranged a 3 day tour of Guangzhou. I made the trip on a ferry sailing up the Pearl river that was boarded by several nervous PLA sailors brandishing AK47s when we crossed into Chinese waters. I don’t much care for organized tours but when China first parted the bamboo curtain that tentative first crack after the death of Mao Zedong in 1976 Americans were only allowed in as part of tour groups. My second trip to China in 2005 was on another lark. I wanted to go somewhere exotic, but not so exotic that the language rendered me functionally illiterate or where I’d be confronted by a strange kind of toilet. I’m an American after all, I have my standards. Hong Kong was just what the doctor ordered. Although Hong Kong became the Hong Kong SAR (Special Administrative Region) in 1997 when the British handed it back the Chicoms in Beijing it has maintained many of its differences from the mainland under the “one country, two systems” policy. That means that unlike on the mainland cars in Hong Kong still drive on the left and have the steering wheel on the right British Empire style. Even though it isn’t widely spoken English is still one of the official languages in Hong Kong, which keeps occurrences of Chinglish down.

Hong Kong is a spectacular world city, for me it was China on training wheels. I enjoyed Hong Kong but I was restless to see what was on the other side of the border. Because even though the Hong Kong SAR is now part of the PRC proper the old pre-handover border remains. Hong Kong has its own customs and immigration services that are separate from those on the mainland. Getting to the border is as simple as boarding a KCRC commuter train and getting off at the last stop, Lo Wu. But I couldn’t cross the border without a visa. In another “one country, two systems” quirk American citizens need no visa to visit Hong Kong, just fly into the airport with a valid US passport and you’re in. But Americans do need a visa to cross the border from Hong Kong to the mainland, even to visit for just a few hours. Lots of inexpensive goods come from China but for American citizens a Chinese visa isn’t one of them. I arranged one through my hotel that cost me more than 800 Hong Kong dollars, that’s more than $100 US. But I wasn’t going to turn up my nose at a day trip to Guangdong province because of the cost. I wanted my all day pass to Chinaland. There are times in one’s life where you just have to open the wallet wide and do what needs to be done. The city on the PRC side of the border is Shenzhen, a bustling metropolis of 5 million that was just a fishing village at the time of Mao’s death. Deng XiaoPing used Shenzhen as a test bed for China’s economic liberalization that in retrospect was wildly successful. Unlike the rest of the mainland, Shenzhen lived economically under communism-lite and its industrial buildup was bankrolled by investors from Hong Kong looking to expand somewhere close to home and attracted by a cheap, Chinese speaking workforce. Wages were low by Hong Kong standards and labor and environmental laws were lax. Shenzhen stoked China’s economic expansion and made the then common “made in Hong Kong” label rare today. I passed through Chinese immigration and out of the train station into Shenzhen and was immediately almost hit by a car. Welcome to Chinese driving where use of mirrors or even eyes is optional and pedestrians have no rights, except maybe to be targets. I passed through Chinese immigration and out of the train station into Shenzhen and was immediately almost hit by a car. Welcome to Chinese driving where use of mirrors or even eyes is optional and pedestrians have no rights, except maybe to be targets. I found the place fascinating. Chinese buses with strange insect antenna-like mirrors plied the streets loudly belching out black exhaust. One Chinese bus manufacturer has the unusual name of “King Long”, which to me sounds better suited to a male porn star than to an outfit that makes mass transit vehicles. Look, here’s Deng Xiao Ping and one of the new businesses in booming Shenzhen:

Because China is the wild, wild east and anything goes, except anything contrary to the edicts of the Communist Party. Just ask the Falun Gong.

Let the Good Times Roll

Mao is right on the money, quite literally. He's on every denomination of Yuan notes so Mao is near and dear to everybody in the new China. He's in the textbooks of their kids and there's often a big statue of him in their town squares. In Chengdu a massive Mao gazes over the development of a new multi-block high end shopping plaza and the new subway that's being built to get Chengdu's citizens to the goods that they want from that new multi-block high end shopping plaza and back home again. In Dandong a giant Mao salutes the Real Love disco.

Mao wouldn't recognize the place. China has outgrown orthodox "workers control the means of production" communism because China has proved conclusively that communism just can't accomplish the basics of providing the food and fuel average folks need, let alone the luxuries they desire and dream of. In sidestepping communism it has brought prosperity to many of it's citizens. It's true, China still has 800 million rural, dirt farming peasants. It used to have more and plenty of urban peasants too. Even the Bang-Bang army in Chongqing bear their heavy burdens because as bad as it is it's better than life down on the farm. The ocean of good old classic iron fisted state planning in the world has dried up into a small dirty little puddle. That kind of good old time classic communism can only be found in garden spots like North Korea and Cuba and it's subjects are kept penned in physically and ideologically by fences and censorship. On the big collective farms that those countries are ideological purity is sprinkled liberally with power shortages, unemployment and famines. China had wide spread famines that starved millions to death in the late 1950's and 1960's, thanks in no small part to that guy on the banknotes.

In today's China food is cheap and all of the stores I saw are overflowing with quantity and quality. Chinese food stores have apples from New Zealand and Washington state, bananas from the Philippines and almonds from California. The English language China Daily from May 16th said that doctors here are running into something never before seen on a large scale before in China; type 2 diabetes. Many of it's citizens never had it so good and they want the good times to continue to roll. China's system is one not seen by the world before. If it ain't communism then what is it? It isn't democracy in the sense of voting for the candidate and party of your choice and the right to stand up on a soapbox in Tiananmen Square and say that the Communist Party of the People's Republic of China is ideologically hypocritical and full of crap. There's only one political party permitted, the "Communist Party", even if it's communist in name only. Coca Cola had cocaine in it way back when but even though the coke is gone from Coke it remains the name of the brand. In China perhaps the name "communist" is just traditional, part of China's branding.

So maybe it doesn't matter what the party in power is called or what it does just as long as it delivers the goods and they don't piss off too many people in the process. China does that sometimes, since the central government owns all the land they can decide that a new mega-mall or chemical plant or condo project is going to be built where your house is now. Be gone in 30 days because the bulldozers are coming they'll tell you and give you a paltry payoff while others get rich with the kind of in your face corruption that Enron could only dream of. China's new industry needs electricity and much of it comes from burning dirty coal. When the state electricity grid decides to build a new coal fired power plant in your neighborhood you don't have much recourse beyond living with it or moving someplace else. Is the ruling Communist party delivering the goods? In my travels it appears to me that they are. Traditional classic communism usually took a country with lots of nothing and made sure that the nothing was spread around equitably. This usually resulted in every body having an abundance of nothing and nothing else. China's been there, done that. There are no cell phones in North Korea, they're banned by the ruling Worker's Party. Cuba has a few because nobody has money for such a luxury. China has more cell phones than there are people in the US, over 300 million and increasing rapidly. I was in Guangzhou for a few days in 1982., there were next to no cars and everybody wore the same clothes and cheap black cotton shoes. Everything looked worn out and run down. The Chinese don't have to read their history books to find out how bad things were in recent Chinese history (assuming the government would accurately print that history where some 80 million died due to Communist Party ineptitude and indifference), they lived through the famines, the scorning and punishment of intellectuals and the purging of innovators or those with contrary ideas. It's recent enough for many to have lived through it, they know what depravation and unbridled state power are like.

The Chinese people want air conditioners, cars, good food with variety, computers, Kentucky Fried Chicken, Starbucks Coffee, Wal-Mart and they want to go on vacations overseas. Oh, and they want fashion and they want it in abundance. If there's one English word I saw over and over on store fronts, the sides of cars and motorcycles and emblazoned in glitter across teen aged girl's chests it's F*A*S*H*I*O*N. They don't always spell it properly but they pursue it at the makeup counters, jewelry and clothing stores with a single minded gusto that suggests that they're making up for lost time and they want to enjoy the party before some bubble headed bureaucrat with more ideology than brains changes his mind. So I saw T-shirts with English gibberish ("World's Greatest Lovers, We Don't Move!", "#1 Killboy" on a 5 year old), women of all ages tottering around in high heels and lots of young people of both sexes with dyed hair.