Exodus of Chinese Citizens Rises Amid Political Crackdowns and Economic Challenges

AGENCY,
Published 2024 Sep 14 Saturday
File Photo

Beijing: A growing number of Chinese citizens are leaving the country, seeking new homes in countries like Thailand, Japan, Vietnam, Singapore, Mexico, and New Zealand, with the United States remaining a popular destination. This exodus includes not just intellectuals, dissenters, and the wealthy, but also average-income individuals. The reasons driving this migration include political crackdowns, a deteriorating business climate, rising living costs, a slowing economy, and high unemployment. These trends have intensified under the leadership of President Xi Jinping.

For many Chinese attempting to enter the U.S. illegally, Mexico had long served as a transit route. However, in recent years, Mexico has become a destination in its own right. The number of temporary residency visas issued to Chinese emigrants by Mexico doubled in 2023. Among those who have relocated is 50-year-old Tan, who sought freedom after becoming disillusioned with China’s restrictive environment. "I can feel the political regression, the retreat of freedom and democracy. The implications of that truly make people feel twisted and sick. So, life is very painful,” he said.

Southeast Asia, particularly countries like Thailand and Indonesia, is increasingly attracting Chinese emigrants, driven by factors such as the competitive education system and shrinking job market in China. Jenson Zhang, an education consultant, said Southeast Asia offers a more affordable and accessible alternative for Chinese families, providing a more secure environment. Japan and Singapore are also key destinations for Chinese students seeking better educational opportunities.

Entrepreneurs and business owners have also been affected by China’s political and economic policies. Armonio Liang, a startup founder from Chengdu, moved to Indonesia after facing government restrictions and police harassment due to his cryptocurrency app. “In Chengdu, everyone is so stressed. If I smiled at a stranger, they would think I am an idiot,” he said, highlighting the increasing pressure on China’s middle class. Others, like Cong, have taken even more drastic steps to flee, trekking through Panama to escape the stifling lack of freedom in China.

Japan has become a popular alternative for wealthy Chinese, offering proximity and lower costs compared to Western countries like the U.S., Canada, and the UK. The weakening Yen has made it easier for Chinese emigrants to purchase property. Concerns over the security of wealth in China are a major factor driving this trend, according to Q. Edward Wang, a professor at Rowan University in the U.S. "If you are just going to Japan to preserve your money, then definitely you will enjoy your time in Japan,” he said.

China’s economic slowdown has hit its wealthy class particularly hard. The country has lost 155 billionaires in 2023 alone, according to the Hurun Research Institute. Meanwhile, the Henley Private Wealth Migration Report estimates that 13,800 Chinese millionaires emigrated in 2023, with the number expected to rise to 15,200 in 2024. Their preferred destinations include Japan, the UAE, and Singapore, as they seek safer harbors in response to Xi’s strict regulations. “The crackdown might have scared off some local private entrepreneurs who may wish to seek safer harbors away from home," said Guonan Ma, a senior fellow at the Asia Society Policy Institute.

In addition to the challenges of wealth preservation, opportunities for generating new wealth have diminished, and corruption within the bureaucracy has worsened, according to Junhua Zhang of the European Institute for Asian Studies. "President Xi Jinping is unfortunately an incompetent leader when it comes to the economy. For wealthy people, if they cannot generate more wealth in the country, then the only solution is to change their location," Zhang said.

The exodus is not limited to the wealthy. Intellectuals, artists, and human rights activists have also fled due to harassment by Chinese authorities. Under Xi, China has shifted from an era of economic freedom to one of stringent political control, with even high-profile figures like business magnate Jack Ma facing state crackdowns. “The arbitrary punishment being meted out to the wealthy class is unlike anything we have seen since the 1990s. This has prompted many in that class to think about diversifying out of China,” said Victor Shih, a professor at the University of California, San Diego.

As China tightens its grip on political and economic freedoms, more citizens across various sectors are seeking opportunities and security abroad, adding to the country’s growing emigration wave.



New