Cross-border regional development in Southern China

Cross-border zones have been developed rapidly in China since 1979. This was largely due to the global economic restructuring in the post-Fordist era. The enclave of Hong Kong plays an indispensable role in the process. While China adopts the Open Door Policy, factories in Hong Kong are quick to relocate to the Pearl River Delta region in order to benefit from the low production costs and other preferential policies. The paper first reviews the factors leading to the economic integration between Hong Kong and the Pearl River Delta region of southern China. It then examines the sectoral changes and the socio-economic data of the region. Rapid urbanization and rural urbanization are reflected in the quest for infrastructural development plans and the loss of quality farmland. They also bring along environmental hazards. The paper concludes with the call for a comprehensive development strategy for the region into the next century. This revised version was published online in August 2006 with corrections to the Cover Date.