Classifying cities is not an easy task. Several companies use all sorts of data to release different lists. These lists are so relevant that companies use them to make financial and investment decisions. However, the Chinese government does not officially recognize any of these lists.
Like most experts in the field, we will use city tiers in China. Likewise, we agree that Shanghai, Beijing, Shenzhen, and Guangzhou are tier 1 cities in China. Thus, our analysis will focus on emerging cities. We have used the criteria established by the reputed financial magazine Yicai, considered by many the most influential in China.
Classification
Coming up with the necessary data is not an easy task. Yicai collects information from 170 commercial brands and 18 internet companies. Amongst the things that Yicai analyzes, we find population, size, infrastructure, lifestyles offered, level of sophistication, and business opportunities. The company studies 337 Chinese cities. Only 119 of these make it to China’s 4 city tiers. Take note that administratively speaking, all 119 cities are at least prefectures.
As mentioned above, China’s first-tier cities are in a league of their own: Shanghai, Beijing, Shenzhen, and Guangzhou. The second tier is called New Tear 1 and includes 15 up and coming cities. Tier 2 has 30 cities while Tier 3, 70 cities. As useful as the ranking is, critics say it harms lower-ranked cities favoring bigger established ones. That said, the Chinese economy relies on this information heavily to allocate resources. In this article, we use the latest data from 2025.
Methodology
As discussed, the first task is to gather a massive amount of information from different sources. Then, professionals analyze the data according to five indexes. Finally, and based on sophisticated algorithms, each index is weight according to the following:
- Commercial Resources Index weights 23% of the total. This index considers the number of brand stores, commercial districts, supermarkets, etc.
- Urban Residents Activity Index accounts for 22% of the total. Online shopping activity, Tik Tok users, number of bars, and night buses determine its value.
- New Economy Index also weights 22% of the total. It takes into account the number of leading companies, the amount of new consumption and the industrial ecology.
- City as a Hub Index weights 17% of the total. The number of high-speed railway stations, airports, packages sent and received, and connectivity with other areas are some of its factors.
- Future Potential Index makes for the last 16% of the total. It considers the number of startups, air quality, consumption growth, and GDP growth, among other factors.
In the past they also included the Lifestyle Diversity Index with factors like the number of museums, cafes, consumption diversity, and the number of travel destinations.
China’s Tier 1 Cities
Nobody doubts that Shanghai, Beijing, Shenzhen, and Guangzhou are China’s Tier 1 cities. These four cities boast China’s most developed economies and biggest transport infrastructure. Not only that, but these massive cities have a major political and cultural influence in the country and, one could say, in the world. As you will see, several cities in China have grown at an incredible pace. However, these four cities have managed to stay at the top of the list.
Besides, professionals in the field are questioning the use of analyzing a city and thinking instead of large conurbations. Regarding the big 4, that wouldn’t change much. Even considering a wider definition of a metropolitan area, Shanghai, Beijing, Shenzhen, and Guangzhou would still remain at the top. After all, they are China’s most influential conurbations.
01 Shanghai
With the highest score, 158.62 points, Shanghai has left all other Chinese cities behind. Shanghai is China’s most populated city and its financial powerhouse. The port of Shanghai is the world’s largest. Hence, the city is one of China’s main trade centers. Shanghai is also China’s wealthiest city and a magnet for foreign investment. Besides, the city is an important transportation hub with the second busiest airport in the country, Pudong.
02 Beijing
Though Beijing topped the list few years ago, in 2025, it took the second spot. Indeed, in 2025 Beijing scored 157.99, slightly less than Shanghai. Beijing is China’s political, educational, and cultural capital. What’s more, it has been China’s grandest city for centuries. However, regarding population size and economic importance, Beijing trails Shanghai. Beijing is also home to China’s most extensive metro system and the largest airport, the world’s second-largest.
03 Shenzhen
Another city that has made the top four since the beginning of the ranking is no surprise either. Shenzhen scored 124.98 in 2025, way behind Shanghai and Beijing. Unlike the other three cities in this group, Shenzhen is not considered a traditional cultural center. On the contrary, the city is modern, with a short past. That said, Shenzhen excels in science and new technologies. Therefore, it is China’s most competitive city and the one with the brightest future.
04 Guangzhou
Few years ago, Guangzhou was in third place. However, with 116.13 points in 2025, it trailed closely behind Shenzhen. Without a doubt, Guangzhou is the most important city in Southern China. Hence, the city is one of China’s biggest cultural and educational centers. It is also a massive manufacturing hub, with all types of industries setting factories and offices in the city. The world-famous Canton Fair is part of Guangzhou’s legacy.
New First Tier Cities in China
Several upcoming cities rival the economic importance and cultural influence of the top four. These are included in Yicai’s category New first tier cities in China. As we have discussed above, there are 15 cities from different parts of the country in this category. Chengdu, Hangzhou, Chongqing, Wuhan, and Suzhou follow the big four.
The next are Xi’an, Nanjing, Changsha, Zhengzhou, and Tianjin. The cities of Hefei, Qingdao, Dongguan, Ningbo, and Foshan complete the list. Though Shenyang, Kunming, Dalian, Wuxi, and Xiamen made the cut in the past, today they are in the Second tier. On the other hand, Hefei entered the new first tier city list for the first time in 2024.
01 Chengdu
Chengdu is poised to make it to the old first tier, together with Shanghai, Beijing, Shenzhen, and Guangzhou. It leads the charts in 3 of the 5 different indexes of the new tier 1 city list. Overall, it scored 100 points. Chengdu is the most important city in Western China. It is a cultural, educational, and financial center of great importance. Chengdu is renowned for its mechanical and automobile industry, information technology, and food processing.
02 Hangzhou
Hangzhou is the second new tier 1 city with 89.55 points. It is a modern city close to Shanghai. According to a recent study, Hangzhou ranked first in China in business opportunities. Forbes named Hangzhou as the best commercial city in China. A hub of internet giants from all over the country, the city is the home of the tech giant Alibaba. Hangzhou’s Zhejiang University is one of China’s top educational institutions.
03 Chongqing
Chongqing ended up on the third position scoring 85.83 points. The Central government separated Chongqing from Sichuan in 1997 to accelerate its growth. Since then, it has grown so much that today it is China’s third most populated city. Chongqing is the country’s largest motorcycle producer. It is also the third-biggest producer of all motorized vehicles. Additionally, it hosts Asia’s largest aluminum plant. In recent years, it has become an important transportation hub.
04 Wuhan
Wuhan is in the 4th position with 78.44 points. It is the most populated city in central China and the country’s main transportation hub. China’s main highways and railways connecting the east to the west and the north to the south pass through the city. Wuhan is also the national leader in innovation. It hosts several scientific and technological development zones. One of the largest car companies in China is headquartered in Wuhan.
05 Suzhou
Another city close to Shanghai to make it to the list is Suzhou. In 2025 Suzhou ranked 5th among the new first tier cities scoring 76.44 points. Suzhou has been China’s largest non-capital city for centuries. In the last four decades, its GDP has grown at an astonishing 14% each year, making it China’s fastest-growing city. Today it’s a major manufacturing center, China’s second-largest. Thanks to tourism, Suzhou has a well-developed service sector.
06 Xi’an
Of all the cities on the list, Xi’an has climbed the most. This year it ended up in the sixth position with 70.90 points. However, it was second to Chengdu in the City as a Hub category. Xi’an is one of the most traditional cities on this list. In fact, due to its numerous historical sites, it is one of China’s most popular tourist destinations. In recent years, it is leading the software-outsourcing industry in China.
07 Nanjing
Nanjing is one of the 10 most populated cities in China. However, its total score is 70.67. The city excels in Business Attractiveness. Regarding culture, Nanjing is second only to Beijing. Besides, it was the national capital several times. Nanjing is one of the leading educational and scientific centers in the country, home to several top universities. Due to the latter, the city excels in informational technology, environmental protection, and new sources of energy.
08 Changsha
Hunan’s capital Changsha is 8th, with 60.91 points. The city performed the best in Business Attractiveness. For centuries, Changsha was the main trading point between Wuhan and Guangzhou. Today, Changsha is an important industrial center, and China’s top aluminum producer. It is also an important educational center, with one of the country’s leading universities. Since Changsha excels in innovation, cultural and creative industries dominate its economy.
09 Zhengzhou
Zhengzhou entered the list in 2017 and, since then, has held a stable position. In 2025, Zhengzhou scored 58.79, right after Changsha. The capital of the Henan Province is another major transportation hub. As part of China’s Belt and Road initiative, trains depart from Zhengzhou carrying goods all the way to Europe. Zhengzhou is a major industrial city, a leading producer of automobiles and buses. China’s biggest bus factory, Yutong, is here.
10 Tianjin
Though Tianjin is China’s fourth most populated city, it is nowhere near the four first tier cities. In 2025 Tianjin scored 57.74 points, exceeding only in Business Attractiveness. Tianjin is famous around China for its large Binhai economic zone. In fact, more than half of China’s Fortune 500 companies are headquartered in the city, earning it the name the Manhattan of China. It is also a technology hub, hosting the world’s fastest supercomputer.
11 Hefei
Hefei is the latest addition to this list. It entered at 15th position in 2024, and this year it jumped to 11th with 55.57 points. It is the capital of Anhui Province, known for its ancient towns and Huangshan Mountain. Hefei is a leading city for scientific research, ranking sixth in China and 13th in the world. It is also a key hub for high-tech industries such as semiconductors and alternative energy.
12 Qingdao
Qingdao has been on the list since the beginning. This year it had a total score of 51.88. Though it’s not its capital, it the most important city in the eastern province of Shandong. Qingdao is a major industrial center hosting one of China’s largest ports. It is one of the top cities in terms of investment climate and government effectiveness. China’s most famous beer brand Tsingtao is produced here. According to many locals and expats, it is China’s most livable city.
13 Dongguan
Dongguan is to Guangzhou what Hangzhou and Suzhou are to Shanghai. Only that Dongguan lacks historical and cultural importance. Some professionals in the field believe it should not be on the list. Nevertheless, it scored 49.83 points. In recent years Dongguan has become China’s electronics manufacturing hub. Recently, world-famous tech giant Huawei moved its data center here. The renowned red-light district is long gone, replaced by new shops.
14 Ningbo
Once again at the bottom of the list, we find Ningbo, another megalopolis close to Shanghai. In 2025, Ningbo scored 49.20. Ningbo is famous for its immense port, the world’s second-busiest. In 1984, Ningbo was one of the first cities in China to build a special economic and development zone. Since then, special areas have mushroomed around the city. Because of its rapid economic growth, the United Nations considers Ningbo China’s most promising city.
15 Foshan
Foshan closes the list with 46.48 points. Like Dongguan, it is another satellite city of Guangzhou. However, unlike Dongguan, Foshan has significant historical importance. The famous Cantonese opera originated here, as did lion dancing and martial arts. In the 19th century, Foshan was China’s industrial hub. Today, it remains a major manufacturing center, with electronics, textiles, and ceramics leading the sector.
