Suburban industrial land development in transitional China: Spatial restructuring and determinants

Along with rapid urbanization, suburban manufacturing development is one of the most prevalent phenomena in contemporary cities around the developing world. However, there are limited quantitative studies on the restructuring of intra-urban manufacturing landscape in the context of developing countries. Based on the theoretical perceptions of neoliberalism and the debate between neoliberal theory and dirigisme theory, this study develops an interpretive framework of industrial land development combining state force and market force under transitional economies. This context-specific framework is used in a case study to investigate the determinants of industrial suburbanization in Hangzhou, China, and thus to disclose the definite roles played by local governments and market forces. The historical analysis indicates that the manufacturing spatial restructure is characterized by a big decline of industrial land in central city, as well as emerging industrial clusters in suburban areas. We also find that both governmental policies and marketization have significantly shaped the restructuring of manufacturing landscape. Proactive planning policies, development zone fevers, and controlled land prices are the most important policies influencing manufacturing locational decision.