The pros and cons of expat life in Shanghai

As the gateway to China’s huge economy, and the country’s most cosmopolitan city, Shanghai is unsurprisingly popular with expats and has been hosting overseas workers for over 150 years. China’s uncompromising lockdown during the Covid pandemic, however, reduced their number dramatically. In 2020, 80,000 expat working certificates were issued; just two years later, only 50,000 were given out. Nonetheless, the “Paris of the East”, remains popular with a significant number of expats, and we are taking a look at some of the strengths and weaknesses of this colourful and vibrant city.

As an expat in a country of 1.4 billion Chinese, you are part of a tiny minority. It is no wonder, therefore, that, you may be considered a novelty. Move away from the big cities and the feeling is amplified – and don’t be surprised to have your picture taken by curious locals.

Life can therefore get pretty pampered for them. They often have their own driver, available whenever the mood takes them, and most families enjoy the services of an ayi, a maid/cook, who helps with domestic chores. After all, expat salaries are high, with the average expat middle manager making USD 305,000 a year.

Having a local driver is probably a good thing, and the local equivalent of Uber (Didi) is both popular and reliable. While few expats need to own a car, even fewer would dare to drive. Shanghai’s streets are notoriously busy. And when traffic flows, it seems to the untutored eye to be flowing in all directions at once. Some expats choose a scooter, which at least gives them a chance of evading the daily gridlock, but they do so at significant personal risk…

A consequence of Shanghai traffic is that air pollution can be a big problem. While the situation has improved over the last decade, largely because many factories have been moved to the outskirts, air quality deteriorated once more in 2023. Expect expat accommodation to include a sophisticated array of air filters, pollution meters and further back-up filters to ensure a breathable environment.

In terms of food, Shanghai has it all. Three-star Michelin standard dining is available for the expat salaries that can afford it, while there are excellent local options for the more adventurous (or cost-conscious). Try the traditional dumplings Xiao long bao or sheng jian bao, available in most local restaurants, or one of a million ways of cooking noodles. Or if you want a visual experience to go with your meal, try on of the many restaurants on the Bund, the waterfront area that provides stunning views of the Pudong skyline. Just make sure you book a table near the window. Dining – or at least getting food – is also easier here than anywhere in the world. Whatever you want, at whatever time of day, there is usually an app that enables you to get food (or indeed groceries) delivered to you within 30 minutes.

If you are taking the family with you, be prepared to pay a lot for education. There are excellent international schools, which offer curriculums that integrate with those back home in order to offer some continuity of schooling, but fees start around $1,500/month (with some schools charging three times as much).  Of course, with a quarter of expats earning over $300,000 a year, this is (almost) reasonable. But there has been a trend in recent years to send younger children to local schools, with the obvious benefit of equipping them with a second language. 

As with all major cities, expats are advised to keep to well-lit areas of town at night, but overall, Shanghai is remarkably free of serious crime. A robust and highly visible police presence in key parts of the city mean that expats can live their lives in relative safety. However, petty crime is a problem, and non-locals are obvious targets for pickpockets, which is a common occurrence. Keep your bags zipped, your wallet hidden and your eyes peeled.

One of the reasons behind the global mobility boom is the ease with which expats can communicate digitally while abroad. You can collaborate effortlessly with colleagues online, and stay in touch with friends via social media. But, for many people, the Internet doesn’t work quite as well in China. Dubbed ‘the Great Firewall’ there is a government-driven block that aims to prevent the likes of Google and Facebook taking control of Chinese digital airspace. Go to Google.com, you get an error message. 

The way around it is to install a VPN (ideally before you go) so your device appears to be coming from the US or Japan. Problem (usually) solved. However, don’t fool yourself that China’s digital infrastructure is underdeveloped. You will find that local social media is dominated by WeChat – a kind of Facebook/WhatsApp hybrid – that is actively used by 80% of the Chinese population, and which enables not just messaging between friends, but sophisticated marketing and e-commerce. Other fast-growing social platforms include Douyin (the local version of TikTok) and Little Red Book (Xiaohongshu).

China’s sheer size and importance makes Shanghai attractive from an economic and professional perspective, and the Covid-driven exodus has left a significant number of employment opportunities for expats. Life here is both enjoyable and safe, and locals will be respectful (if not effusive) in their welcome, but be prepared for culture shock. The traffic, the food, the pollution and the language can be overwhelming, but embrace the difference and your time spent in Shanghai will be memorable and rewarding.