News Desk
BEIJING — In a Lunar New Year address that struck a tone of both resilience and caution, Chinese President Xi Jinping called for renewed efforts to counter mounting economic risks and external pressures. His message, delivered at a Beijing reception to usher in the Year of the Snake, comes as China faces an exodus of citizens unparalleled in modern history.
Since Xi took office in 2012, over 1.15 million Chinese citizens have fled the country, a figure that underscores growing disillusionment with his leadership and the “China Dream” that once symbolized national aspiration. The wave of departures reached unprecedented levels in 2024, with asylum applications exceeding pre-pandemic figures by 169%, according to the United Nations Refugee Agency.
China now leads the world in millionaire emigration, with 15,200 high-net-worth individuals expected to leave in 2024, a 28% increase from the previous year, according to Henley & Partners’ Global Private Wealth Migration Report. Destinations such as the United States, Canada, and Singapore have become havens for China’s elite, whose departure deprives the country of critical financial resources and entrepreneurial expertise.
But the migration isn’t confined to the wealthy. Ordinary citizens, often risking perilous journeys, are also leaving in record numbers. U.S. Border Patrol reports that over 35,000 Chinese nationals entered the United States through southern California and Texas in the first seven months of 2024—a staggering rise from the 1,500 crossings recorded during the entire Hu Jintao era.
At home, the economic outlook grows increasingly grim. In cities like Shanghai, small businesses are shutting down at an alarming rate, with commercial occupancy dropping to as low as 30%. Business owners are reporting annual losses exceeding $12,000, reflecting a consumer base tightening spending amid economic uncertainty. Meanwhile, the once-thriving real estate market has collapsed. In Shenyang, property values have plunged by as much as 50%, wiping out life savings and undermining financial stability.
Young graduates in China face a harsh reality as meaningful employment opportunities grow scarce. Many earn less than $750 a month, with some taking on roles far below their qualifications. Stories of university graduates working grueling 16-hour shifts as taxi drivers for $900 a month have become emblematic of a generation’s crushed aspirations. This widespread underemployment not only represents personal setbacks but also poses long-term risks to China’s economic growth by wasting human potential.
Adding to the turbulence, crackdowns on key sectors like technology and finance have created a climate of unpredictability. Even individuals with close ties to the Communist Party are seeking to emigrate, fearing asset seizures and political retribution.
In 2024, anti-corruption efforts intensified as 56 senior officials at the vice-ministerial level or higher were placed under investigation. These initiatives extended beyond traditional realms, targeting corruption in the military, defense industry, health sector, and even sports, signaling a broadened scope in the government’s crackdown on graft.
According to Jie Lijian, Vice Chairman of the Chinese Democratic Party Headquarters, the dual exodus of talent and capital threatens to erode China’s capacity for innovation and weaken its economic foundation.
The extent of capital flight underscores the depth of the crisis. In a single quarter of 2022, an estimated $738 billion in capital left the country. Despite government measures like tax breaks for homebuyers and small business incentives, public confidence remains elusive. Xi’s controversial abolition of presidential term limits in 2018 and the draconian zero-COVID policies have further eroded trust, unraveling the implicit social contract that traded political compliance for economic prosperity.
President Xi’s Lunar New Year remarks, which emphasized the importance of perseverance amid “external shocks,” also highlighted the drafting of the next five-year plan for 2026-2030. Yet the ambitious reforms promised during the July third plenum appear unlikely to address the systemic challenges driving the exodus.
As China grapples with a declining birth rate, an aging population, and spiraling local government debt, the historic departure of its citizens in 2024 signals a profound crisis of confidence in Xi’s leadership. For many, the “China Dream” has morphed into a nightmare of economic uncertainty and political repression.
This unprecedented migration marks more than just discontent with Xi’s policies; it is a sweeping indictment of his vision for the nation. The ramifications of this exodus could reshape China’s social fabric and its role on the global stage for decades to come.
