In early May Xi made a rare high-level inspection tour of the site of the new area in Hebei province, bringing with him a number of top government leaders, including three members of the Politburo Standing Committee, the party’s top decision-making body.
Grünberg said although Xiongan might not be at the very top of Xi’s priorities, it was “a prestige project” for him.
He argued “Xi wants to succeed to showcase China in the new era” by showing how “urbanisation, urban governance, social control, transport and all these developmental leapfrog issues can be showcased in one city”.
With no concerns about facing political challenges, Xi is eager to show that his orders can be carried out successfully, according to a mainland-based political scientist who spoke on condition of anonymity.
“He has a lot of plans and aims to be in charge of all kinds of work. He issues all kinds of instructions, and believes that he can accomplish everything,” he said.
Some observers have expressed scepticism over the Xiongan scheme because the site is not close to any regional commercial hubs, and people benefiting from Beijing’s services such as education and healthcare are reluctant to move to Hebei.
However, last week senior officials from Hebei visited leading companies and research institutes in the capital to promote Xi’s “important instructions” on the need for businesses to relocate.
Chen Gang, assistant director and senior research fellow at the National University of Singapore’s East Asian Institute, said: “Xiongan is of strategic importance to him, so construction will continue despite the controversies. Work on the project will be in full swing in his third term.”
The scheme is among a number of Xi’s initiatives to drive economic growth in the coming decade. It is intended to be a new “role model” for the country and Xi’s own version of Shenzhen, the southern tech hub that developed rapidly over the past four decades, according to the political scientist.
“He probably still feels that Xiongan is a very important part of his economic development plan, so (he needs) to put pressure on it,” he said.
Xiongan has been elevated to the status of a “key national development strategy” and has been given a mega plan that will run until 2035, with some 800 billion yuan (US$112 billion) committed to key projects relating to the plan as of November, according to official figures.