Best Cities to Live in China: The Essential Guide for Newcomers and Expats

The best cities to live in China are not always the most famous ones. China is a vast and extraordinarily varied country with over 100 cities of more than one million people, dramatically different climates, distinct regional cultures, and a range of living costs that can vary more between two Chinese cities than between two different countries.

For newcomers and expats choosing where to settle, the decision matters enormously. Shanghai and Beijing are the cities most people have heard of, but they are also the most expensive and the most demanding to live in. Chengdu, Hangzhou, Shenzhen, and Xi’an each offer a genuinely different experience that suits different personalities, budgets, and career paths.

This guide covers the best cities to live in China honestly, comparing cost of living, job markets, lifestyle, expat community, and what daily life actually feels like in each one.

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Best Cities to Live in China: Understanding China’s City Tier System

Before comparing individual cities, it helps to understand the framework the Chinese use to classify them. China organises its cities into tiers based on GDP, population, political administration, and economic influence.

Tier 1 cities are Shanghai, Beijing, Shenzhen, and Guangzhou. These are China’s largest, wealthiest, and most internationally connected urban centres. They have the strongest job markets, the largest expat communities, the best international infrastructure, and the highest cost of living.

New Tier 1 cities, sometimes called emerging Tier 1, include Chengdu, Hangzhou, Wuhan, Xi’an, Nanjing, and several others. These cities have grown rapidly in recent years and now offer quality of life, career opportunities, and cultural depth that rival the traditional Tier 1 cities, often at significantly lower cost.

Tier 2 and lower cities offer the most affordable living in China and can be excellent choices for specific roles such as teaching English or working for a domestic Chinese company, but typically have smaller expat communities, less international infrastructure, and more language barrier challenges.

For most newcomers and expats, the practical choice is between the Tier 1 and New Tier 1 categories. This guide focuses on the cities within those groups where the balance of opportunity, lifestyle, and liveability is strongest.

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Shanghai: China’s Most International City

Shanghai is the city most expats think of first when considering China, and the reasons are straightforward. It is China’s commercial capital, its most cosmopolitan city, and the place where international business life is most naturally integrated into daily existence.

The expat community in Shanghai is the largest in China, providing immediate social infrastructure for newcomers. International schools, western restaurants, English-language medical facilities, and a social scene that rivals major Western cities are all well established. The city’s French Concession neighbourhood, with its tree-lined streets, independent cafes, and international boutiques, feels genuinely different from anywhere else in China.

Shanghai’s job market is the strongest in the country for finance, trade, luxury goods, technology, and professional services. The city functions as the regional headquarters for a significant proportion of multinational companies operating in China, meaning English-language professional roles are more abundant here than anywhere else.

The honest reality is that Shanghai is expensive by Chinese standards. Rent for a decent one-bedroom apartment in a central area typically ranges from 8,000 to 15,000 yuan per month. International school fees, dining at international restaurants, and maintaining a Western-adjacent lifestyle add up quickly. Newcomers who arrive expecting the cost advantage of China and then live as they would at home in London or Sydney often find the financial equation less favourable than anticipated.

Shanghai suits newcomers who prioritise international career opportunities, a large and active expat community, and a cosmopolitan lifestyle, and who are prepared to pay for that infrastructure.

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Beijing: History, Culture, and Political Weight

Beijing is China’s capital and its cultural heart. With a history stretching back over 3,000 years, the city carries a weight and character that Shanghai, for all its energy, does not replicate. The Forbidden City, the Summer Palace, the Temple of Heaven, and the Great Wall are all accessible from the city centre, and living in Beijing means these are part of your daily backdrop rather than tourist destinations you visit once.

The job market in Beijing is particularly strong for technology, education, government-adjacent roles, research, and media. The city hosts China’s most prestigious universities, its most significant state institutions, and a growing technology sector centred in the Zhongguancun district, sometimes called China’s Silicon Valley.

Beijing’s expat community is large and well-established, though somewhat different in character from Shanghai’s. It skews toward academics, journalists, diplomats, and professionals in government-linked industries, reflecting the city’s political and institutional weight.

The climate in Beijing is one of the most significant practical considerations. Winters are cold and dry, with temperatures regularly dropping below minus 10 degrees Celsius. Summers are hot and humid. Spring brings the famous yellow dust storms carried from the Gobi Desert that reduce air quality significantly for several weeks each year. Air quality more broadly is a genuine health consideration in Beijing, and many expats with respiratory sensitivities or young children factor this carefully into their decision.

Beijing suits newcomers drawn to deep cultural immersion, the intellectual and institutional weight of a national capital, and strong opportunities in technology, education, and government-linked industries.

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Shenzhen: China’s Technology Capital

Shenzhen is one of the most remarkable urban success stories in modern history. Forty years ago it was a small fishing village of fewer than 30,000 people. Today it is a city of over 17 million, China’s technology and innovation capital, and home to global companies including Huawei, Tencent, DJI, and BYD.

The city sits directly on the border with Hong Kong and has absorbed significant influence from that relationship, including a more international business culture, greater English proficiency among professionals, and a more open social environment than many mainland Chinese cities.

Shenzhen’s job market is exceptional for technology, software engineering, hardware development, biotechnology, telecommunications, and finance. For professionals in these sectors, it offers opportunities that are genuinely difficult to match anywhere else in China.

The cost of living in Shenzhen has risen significantly as the city has grown, and it now sits close to Shanghai in terms of rental costs in central areas. However, the combination of high salaries in the technology sector and a modern, efficient, and well-maintained city infrastructure make the financial equation work well for professionals in the right industries.

Shenzhen suits tech professionals, entrepreneurs, and anyone drawn to a fast-paced, innovation-driven environment in a city that feels genuinely young and forward-looking.

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Chengdu: Quality of Life, Food, and a Slower Pace

Chengdu is consistently rated among the most liveable cities in China by both domestic and international surveys, and spending any time there makes it easy to understand why. The capital of Sichuan Province in southwest China, Chengdu has built a reputation as the country’s most relaxed major city, a place where quality of life is genuinely prioritised over the relentless pace that characterises Shanghai and Beijing.

The cost of living in Chengdu is significantly lower than in the Tier 1 cities. A comfortable one-bedroom apartment in a good central area typically costs between 3,000 and 6,000 yuan per month. Food, particularly the extraordinary Sichuan cuisine for which the city is the undisputed global capital, is outstanding in quality and remarkably affordable. A satisfying meal at a local restaurant rarely costs more than 30 to 50 yuan.

Chengdu’s job market has grown substantially in recent years. The city has become a major hub for technology, gaming, aerospace, and international trade, with companies including Intel, Foxconn, and dozens of Chinese tech firms operating significant presences there. The gaming industry in particular is one of the strongest in China outside of Shanghai and Beijing.

The Giant Panda Breeding Research Base is located in Chengdu and is one of the most visited attractions in western China. The surrounding Sichuan Province offers some of the most spectacular natural landscapes in the country, from the highlands of Tibet to the prehistoric forests of Jiuzhaigou.

Chengdu suits newcomers who want the genuine China experience at a more human pace, exceptional food, strong and growing career opportunities, and a cost of living that makes financial comfort genuinely achievable.

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Hangzhou: Beauty, Technology, and the Home of Alibaba

Hangzhou is one of China’s most beautiful cities and one of its most economically dynamic. Located 180 kilometres southwest of Shanghai and connected by high-speed rail in under an hour, it offers much of Shanghai’s professional opportunity at a noticeably lower cost of living and with a physical environment that Shanghai simply cannot match.

The city is built around West Lake, a UNESCO World Heritage Site of extraordinary beauty. Walking, cycling, and living alongside the lake is part of daily life in Hangzhou in a way that few other Chinese cities can offer. The surrounding area includes tea plantations producing the famous Longjing green tea and countryside that remains genuinely rural and accessible.

Hangzhou’s technology sector is anchored by Alibaba, which was founded here and remains headquartered in the city. The concentration of e-commerce, fintech, artificial intelligence, and digital economy companies around Alibaba has made Hangzhou one of the most significant technology cities in China and created strong opportunities for professionals in these fields.

The expat community in Hangzhou is smaller than in Shanghai or Beijing but growing steadily. International schools and English-language facilities have expanded in recent years as the city’s international workforce has grown. For newcomers who value beauty, a more intimate city scale, and strong technology career opportunities, Hangzhou is one of the most compelling choices in China.

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Xi’an: History, Affordability, and Authentic China

Xi’an is the most historically significant city on this list and one of the most affordable. As the starting point of the ancient Silk Road and the home of the Terracotta Army, one of the greatest archaeological discoveries in human history, Xi’an carries a cultural weight that none of China’s more modern cities can replicate.

The cost of living in Xi’an is among the lowest of any major Chinese city. Rent, food, and daily expenses are significantly below Shanghai or Beijing, making it one of the most financially accessible entry points into Chinese city life. The food culture is extraordinary, centred on hand-pulled noodles, roujiamo flatbread sandwiches, and the legendary night markets of the Muslim Quarter.

The job market in Xi’an is more limited than in the Tier 1 cities, making it most suitable for English teachers, academics, and professionals working for domestic Chinese companies or in research roles connected to the city’s universities. For newcomers whose primary goal is cultural immersion in authentic China rather than international career advancement, Xi’an offers an experience that the more globally oriented cities cannot provide.

Xi’an suits newcomers seeking deep historical immersion, low cost of living, and a genuinely different China from the modern megacities of the east coast.

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How to Choose the Right Chinese City for You

The best Chinese city is the one that matches your specific priorities. A few practical questions help narrow the decision before you commit.

What industry are you in? Finance, luxury, and international trade point to Shanghai. Technology and innovation point to Shenzhen or Hangzhou. Government, education, and media point to Beijing. Food, gaming, and quality of life point to Chengdu.

What is your budget? If managing costs carefully matters, Chengdu, Xi’an, and Hangzhou offer significantly better value than Shanghai, Beijing, or Shenzhen.

How important is an expat community? If finding an established international social network quickly matters, Shanghai is the strongest starting point. If you are comfortable building social connections more independently, the smaller expat communities of Chengdu and Hangzhou offer a more immersive Chinese experience.

How much does physical environment matter? If natural beauty and a liveable urban scale are priorities, Hangzhou and Chengdu are significantly more pleasant than the dense urban environments of Shanghai or Beijing.

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Key Takeaways

The best cities to live in China offer genuinely different experiences depending on what you are looking for. No single city is right for every newcomer, and the decision is worth making carefully before you commit to a lease and a lifestyle.

• Shanghai is China’s most international city with the strongest expat infrastructure, but it is also the most expensive. It suits career-focused professionals in finance, trade, and professional services.
• Beijing combines deep cultural history with strong opportunities in technology, education, and government-linked industries. Air quality and climate are genuine practical considerations.
• Shenzhen is China’s technology capital with exceptional opportunities for professionals in tech, hardware, and innovation. Its proximity to Hong Kong gives it a distinctive international character.
• Chengdu consistently rates as one of China’s most liveable cities, combining genuine quality of life, extraordinary food, and growing career opportunities with a significantly lower cost of living.
• Hangzhou offers the beauty of West Lake, the career opportunities of Alibaba’s ecosystem, and a city scale that feels more human than China’s largest megacities.
• Xi’an offers authentic historical immersion and one of the lowest costs of living of any major Chinese city, making it a strong choice for those prioritising cultural experience over international career advancement.