Last month we took a family trip to Shenzhen and Guangzhou. It was the latter that I would like to visit again.
I have been to Guangzhou for business a few times. But the last time was twenty years ago. The company I worked for won a contract with Guangzhou Baiyun International Airport. I flied there after the new airport opened in 2004. Two decades later, Guangzhou is very different now.
The US media (and the SPH media reposting their articles) only focus on reporting China’s flagging economy, employment and property market. However, the journalists may have never set foot on China. The articles serve their purpose. But they can be lopsided.
Life’s a breeze in China
China is a superpower leading in many areas. Undeniably, it has the best logistic system, public transportation and digital infrastructure that the rest of the world are lagging far behind. The country also has the most advanced technologies in AI, 5G/6G, EVs, robots and mobile gadgets, with the latest models yet to export.
Shenzhen is the tech and innovation hub with entrepreneurs and hi-tech talents from all over China. To make the place welcoming, Shenzhen’s city slogan is “来了就是深圳人” (You come here and you are Shenzhen people.) (Read “Reporting from Shenzhen: How China stimulates the property market”)
Living in China is a breeze. Digitally connected cities are under extensive surveillance. Crime rate is low. Anyway, the Chinese don’t carry wallets now. They pay everything using WeChat and Alipay.
Besides, the ten to twenty mobile apps can cater to all your needs: Order online from any part of China, the goods will arrive at your doorstep the next day. Food delivery is low-cost with too many good offers. Don’t want to see a deliveryman? Choose the option of drone delivery.
Above all, China has the world’s largest, most advanced and highly reliable high-speed rail. It covers 50,000 km or 97 percent of cities. A comprehensive metro system is available in ten cities. Commuters pay two to four renminbi (S$0.37 to S$0.74) for most trips. Simply select the right city from the Alipay public transport app. Then scan at the station’s entrance and exit.
The baidu map is far better than the google map. It indicates what time the next trains are arriving, which cabins have high/low air-conditioning, what cabin number is nearest to the exit escalator at the station you plan to alight.
Involution in China
Involution (内卷) is a common phenomenon in China’s economy in recent years. Facing the most serious deflation since the 1990s, industries are under the threat of excessive and self-defeating internal competition. Companies battle overproduction, dog-eat-dog competition, price wars and diminishing profits in many industries, including EVs and F&B. Amid sales bottleneck, companies are forced to expand overseas.
Price wars are good for the consumers but bad for the suppliers. For instance, the beginning of 2026 kickstarted a new round of price cuts among EV makers. On January 14, the Chinese authorities called for a closed-door meeting to warn automakers of severe penalties for no-price-war violations.
In reality, it is not necessary to drive in tier-one cities like Guangzhou. Ride-hailing is a mature and competitive market. Call a cab and an EV will arrive in no time, at a fraction of Grab charges in Singapore. Pay a few more Singdollars for the premium service, you have a luxury EV limousine waiting at your doorstep – the driver in a nice suit, wears white gloves, and opens the door for you. If you need privacy, there is also the option of self-driving taxis.
It is equally challenging for the retail industry. Mixue (蜜雪冰城) saw the closure of 1,187 shops just the first half of 2025. Last month DFI Retail Group is selling 120 Mannings stores in China. How retail properties can fill up the empty space created by the exodus of F&B and retail chains is a big question.
How F&B survives in China
How can China’s F&B businesses survive the competition? A successful example is 大鸽饭 (Da Ge Fan). The F&B franchise won Michelin star six years in a row.
On a weekday, the restaurant started distributing dinner tickets from 4.10 pm. We were assigned a table after waiting for an hour, while helping ourselves with snacks and drinks. When we left at 7 pm, there were still 179 groups waiting for medium-size tables for 4 pax.
Food was great and service was excellent. We ordered all their famous dishes. The total bill of affordable Michelin-star cuisine was RMB288 (S$53) for 4 pax. No tax. Zero service charge. But we had the best restaurant service ever.
There are six promises printed clearly on the receipt:
1. Deliver all orders in 30 minutes or the late dishes are free.
2. Any dish not suitable to your taste can be changed unconditionally.
3. Food delivered wrongly to your table is free.
4. Any over-charging in the bill will be compensated with double the amount. For under-charging, no need to pay back.
5. Asking for good reviews is strictly forbidden. Reporting such acts will be rewarded.
6. If the above promises are not kept, send a complaint to our mailbox and receive a reward of RMB315 (S$58).
Singapore’s F&B sector complains about high rent, labor shortage and strong competition. The government offered F&B businesses subsidies every time during economic crises. However, the world has changed with food delivery, automation and kitchen robots. How far have local F&B operators innovated and upgraded themselves in food quality, efficiency and service standard to adapt to a new era? Consumers are wise. They only spend money when they are satisfied with quality, value and service.
What makes Guangzhou special
Compared with Shenzhen, I like Guangzhou more. The city is the perfect blend of modern technology and ancient culture. Guangzhou’s rich history and colonial architecture are fascinating.
Before Shanghai, Guangzhou was the most important trading port for China’s Maritime Silk Road during the Republic of China (1912–1949). The city was well-known for “东山少爷” and ”西关小姐” (descendants of high officials and rich businessmen staying in Dongshan and Xiguan). They were well-educated, westernized and fashionable.
The biggest attraction of Guangzhou is no doubt its good food. There is a Chinese saying “吃在广州” that says Guangzhou has the best food in China. In fact, many of the world’s best Chinese chefs are from Guangzhou, including the famous Chef Martin Yan, host of the popular “Yan Can Cook” TV series.
Dimsums and roasted meat are the best. These days Guangzhou chefs still insist not skipping any step to prepare the best meal. Even simple dishes are prepared to their perfection.
During my university days in Hong Kong, a friend from Guangzhou often complained about food. She said eating vegetables in Hong Kong is like eating grass. I thought she was exaggerating. I only got it after my relocation from Hong Kong. Before that I didn’t know green vegetables can have no natural sweetness or taste bitter.
It was only on my first business trip to Guangzhou two years after graduation that I saw what is real 色香味 (color, fragrance and taste) – the three requirements of Cantonese food. All the food complaints from my Guangzhou friend were valid.
Coming back from Guangzhou, I didn’t feel like eating out. Most days I bought ingredients from the wet market and cooked at home.
Guangzhou home prices continue to fall
Despite the Chinese authorities relaxing home purchase restrictions, the China property market is still soft. In 2025, Beijing, Shenzhen and Shanghai recorded single-digit increase in property prices.
The rise is likely the result of developers launching high-end new projects. By the way, developers cannot use the word “luxury” lest giving the wrong impression of widening wealth gap in society. They call it “improved” projects – new flats equipped with modern renovations and latest technologies not seen in Singapore.
On the contrary, home prices in Guangzhou are still hovering at the level of average RMB32,000 per square metre (S$550 psf). From the peak of 2021, second-hand and new home prices have fallen 30 and 50 percent respectively.
Indeed, some developers are already launching new projects at a price lower than the land cost. But online comments said developers should lower asking prices further. This can be the same people who once told everyone prices will keep rising if they don’t buy now.
Sounds familiar? Although the rise and fall of home prices in Singapore are more moderate, the FOMO and fear to buy low are the same. When developers offer 10, 15 or 20 percent discount, people still rush to buy. But once prices continue diving to 30 percent or more, buyers hold back to wait and see.
Sadly, the burst property bubble in China has broken the heart of many who once believed property prices never fall in tier-one cities. Many homeowners lament about life savings being wiped out. They have worked hard for decades for nothing. The young generation believes home ownership is a big lie. A home is a consumption, not an investment. They choose to lie flat, stay single and not buy any home in the future.
Buying home for long-term stay in China
Singapore passport holders can stay in China for up to 30 days. Special visas for family or work reasons are usually up to 180 days.
For Singaporeans, they are eligible to buy a home only after working or studying in China for at least twelve consecutive months on a valid residence permit. Foreign buyers must declare the home is for own use, not for renting out. Foreigners are limited to buy one residential property subjected to rules and zone restrictions in different cities.
“It is sad but true: If you have money, you can go anywhere for your retirement. But if you don’t have money, you will be poor wherever you go. To play safe, stay where you are.”
“So you plan to retire cheap?”, PropertySoul.com
If you miss “The Future of Singapore Homes” education seminar, you can watch the recording here.
Check out my new online courses How To Buy Good Quality Properties and Buy The Right Condos.
My book Behind The Scenes of The Property Market is available for preview and order online.
If you need advice on property matters or residential properties in Singapore, you can check out my one-to-one consultation service.
Leave a Reply