Forming foreign enclaves in Shanghai: state action in globalization

J Hous and the Built Environ (2008) 23:103118 DOI 10.1007/s10901-008-9103-3

ARTICLE

Forming foreign enclaves in Shanghai: state action in globalization

Jun Wang Stephen Siu Yu Lau

Received: 2 June 2007 / Accepted: 24 January 2008 / Published online: 1 April 2008 Springer Science+Business Media B.V. 2008

Abstract Urban spatial restructuring in the globalization process is contingent and nonuniform due to the multiplicity of interactions among the diVerent actors involved. The burgeoning literature on Chinese cities suggests that local forces play an active role in many disciplines. One of the primary places to study such interaction is the foreign enclave, a residential concentration intended for foreigners (including ethnic foreigners and ethnic Chinese from overseas) that is emerging in many large Chinese cities. However, the local authorities role in the formation of foreign enclaves has not been systematically examined. This article considers how the local authorities interpret the development of foreign enclaves and then how they design and implement strategies for them. Using the case of Gubei New District, the Wrst and largest cluster of foreign housing projects in Shanghai, the article argues that developing foreign enclaves is central to the local governments pursuit of structural competitiveness. An examination of this process may shed some light on the local authorities dynamic response to the globalization of housing markets in Chinese cities, with shifting strategies corresponding to the varying perceived interests.

Keywords Globalization Foreign enclave Local authority InXux of elite groups Shanghai

1 Introduction

In Shanghai, it is said that residents of the areas within the inner circle speak English while those residing outside the outer circle speak the Shanghai dialect (Zhou and Liu 2006, p. 23). Although a bit exaggerated and inaccurate, the saying reXects an emerging spatial residential segregation. In particular, it is based on the formation of foreign enclaves, which are usually luxury gated estates in privileged places. One of the Wrst foreign enclaves in Shanghai was Gubei New District, which today still contains the largest

J. Wang (&) S. S. Y. LauDepartment of Architecture, University of Hong Kong, Pokfulam Road, Hong Kong e-mail: [email protected]

1 C

104 J. Wang, S. S. Y. Lau

cluster of foreign enclaves. On the one hand, this development builds up the image of Gubei as the superior residential location...