Chongqing vs Guangdong

FRANCOIS GODEMENT, YANG CHAN, JEAN-PIERRE CABESTAN, JÉRÔME DOYON, ROMAIN LAFARGUETTE of the Asia Centre, Sciences Po, analyze content in Chinese language publications in China, Hong Kong and Taiwan to state that China's Faustian pact of miraculous export growth in exchange for huge external dependence was unravelling and rebalancing of the economy towards domestic growth was not necessarily easy as much of China’s domestic investment went into massive infrastructure projects and real estate deals which did not necessarily enhance consumer demand.
In a China Analysis article for the European Council for Foreign Relations, "One or two Chinese models?", they document the emergence of two economic models, a Chongqing model led by Bo Xilai and supported by Xi Jinping and Zhou Yongkang, characterized by massive infrastructure spending that could be recouped in the long-term through economic growth and a Guangdong model led by Wang Yang supported by Hu Jintao and Li Keqiang, characterized by a legal and market-based transition. These were further complicated by the jostling for key positions by these factions in the politburo standing committee.
They also state that although it was hard to predict how the debate could unfold, it was clear that China was investing into the next wave of export-led growth, mobilising its inland assets and negating the effects of rising wages, labor shortages and ageing. They caution that a slowdown in international demand could make these investments very risky and the debate could transcend economics into power politics and how best to preserve the legitimacy of the CCP rule against strong headwinds.

Marine SEZs: Push to a greater blue economy

LIU SHUGUANG of the Ocean University of China reviews Beijing’s marine economic strategy in the wake of spate of approvals for marine economic development zones in Shandong, Zhejiang and Guangdong this year and explores their potential impact on neighboring countries, especially the littoral states of the regional seas.

In an RSIS commentary, “China’s Marine Economy: Opportunities for International Co-operation?”, he states that Beijing’s marine economy initiatives were an important part of its strategic reorientation to reduce export dependence and China’s stimulus package for its manufacturing sector and increasing inter-provincial competition accelerated the development of these marine zones centred around the Shandong peninsula to leverage China-Korea free trade agreement, Zhoushan archipelago in Zhejiang province and Guangdong to leverage the China-ASEAN free trade agreement.
He calls for a revamp of China’s traditional model characterised by extensive utilization of resources and spaces, FDI for land reclamation and irrational competition among provinces in favor of a shift to a blue economy based on management and conservation of marine resources and greater international co-operation for effective marine economic strategies.