Should China lift the ban on dual citizenship in the wake of the emigration wave?

February 7, 2011Jing Gao6 Comments, , , , , , , , , , ,

China has seen a mass exodus to foreign countries led by new rich people and intellectual elite. Speculation of the viability of changing the current strict policy of single nationality to recognize dual citizenship, has arose, which is thought to be conducive to attracting overseas talents, capital and technology and offsetting losses caused by the emigration wave.

According to Zhang Xiuqin, Director General for the Department of International Cooperation and Exchange under the Ministry of Education, as of 2008, about 1.39 million Chinese have gone abroad for higher education, the most by country in the world, but only 390,000 returned. A report published by Chinese Academy of Social Sciences in April, 2010 says that China has become the world’s largest “exporter of emigrants.” In 2009, 25,000 people immigrated from the People’s Republic of China to Canada. Multiply that number by 400,000 Canadian dollars, which is the minimum amount of investment to qualify, and you get that at least 10 billion Canadian dollars (US$9 billion) flowed from China into Canada that year.

On June 16, 2010, the Overseas Chinese Affairs Office of the State Council announced that the number of Chinese expats has exceeded 45 million, ranking first in the world in absolute terms. Economic Observer (newspaper) reported at the end of 2010 that three waves of emigration have emerged in China since the economic reform (Reform and Opening Up). Unlike the previous two waves, the first consisting of laborers in late 1970s and the second consisting of mostly students in the 90s, bellwethers of the current wave are a new rich class and the intellectual elite, and the diaspora is gathering steam in the past 10 years. Canada alone has drawn 1.2 million Chinese to settle down.

In order to attract foreign capital and talents and pull back Chinese entrepreneurs of foreign nationality, August 15, 2004, Ministry of Public Security and Ministry of Foreign Affairs implemented Regulations on Examination and Approval of Permanent Residence of Aliens in China. Any foreign nationals, including Chinese of foreign citizenship, can get Chinese “green card” to obtain permanent residence, as long as they meet the qualifications.

However, the threshold is so absurdly high as to stultify the regulations. Take immigration through direct investment as an example, an applicant has to pour either US$500,000 into western China, the least developed region of the country, or 1 million dollars into central China, or a total of 2 million dollars in anywhere in China. Many Chinese expats who wish to return and start enterprises flinch at the large sum.

For Chinese expatriates, China’s current prohibition of multiple citizenship has been a great hindrance to Chinese expatriates when they apply for return visa and residence permit, and compound their difficulties if they wish to start a business or settle down, since paperwork and red tape procedure is extremely cumbersome. Recognizing dual nationality can encourage and facilitate the influx of talent and attract more foreign capital.

South Korea, for example, had been strictly observing its Nationality Law passed in 1948 that does not allow adults and foreigners living in the country to hold multiple citizenship.

However, a revision was passed on April 21, 2010 by the Korean National Assembly and went into effect on January 1, 2011. It permits multiple citizenship to people meeting certain conditions, as part of efforts to prevent a brain drain and pave the way for talented foreigners to obtain Korean citizenship without giving up their nationality.

According to South Korean Ministry of Justice, in the most recent 10 years, about 50,000 foreigners have become naturalized Korean citizens, while as much as 170,000 Koreans gave up their citizenship. Most of them belong to the middle class and/or are skilled professionals in various fields.

Overseas Chinese have made great contributions to China’s reform and opening up. From 1978 to 2005, the Chinese government has introduced total foreign investment of about US$622.4 billion  dollars, of which about 67% are credited to Chinese. About 70% of over 550,000 foreign-funded enterprises were established by overseas Chinese. More than seven million Chinese emigrated to foreign countries since the reform and opening up. More than a million Chinese students are studying abroad. They combined have enormous financial, technical and intellectual resources.

In 2003, New Canadian Community Centre organized by Mandarin-speaking Chinese and Toronto service conducted an online opinion poll that targeted Chinese immigrants. The result showed that 92.6% of respondents thought the Chinese government should allow Chinese immigrants to retain Chinese nationality upon naturalization into a foreign country that recognizes dual citizenship.

Dual citizenship is also a middle ground for Chinese who have the means and the will to emigrate, but wish to leave some wiggle room anyway. They emigrated because of lack of faith in the current Chinese regime or the society or whatever factors that make them gravitate towards the U.S. and other developed countries. But if they had a choice, they would retain the Chinese citizenship because of the cultural identity, family ties, human networks and rosy prospects of the Chinese economy.

Most overseas Chinese still speak, think and act the way a typical Chinese does. They say they still love and are deeply attached to China, but their concerns for life of their own and their children have prevails, and now that they could only choose one nationality, they gave up the Chinese roots on paper, a gesture that many Chinese, out of nationalism and perhaps a little jealousy, accuse as selfishness, betrayal, and even treason.

When they, notable people in particular, return to China to keep pursuing their original career or start a new enterprise, they are often condemned as hypocrite and double-crosser that professes to be a contributor to China while in fact paying taxes to another country. “You have the right to change your nationality,” a web user commented on a story about Chinese celebs that have taken an oath of allegiance to other countries, “But please don’t say you still love China anymore.” “This is sick and a betrayal of your oath to your new country,” another commenter wrote.

Before late Qing Dynasty, obtaining citizenship of a foreign country never occurred to Chinese, as they prided themselves on being subjects of the celestial court, the heavenly kingdom, and dismissed people from elsewhere as barbarians.

According to Financial Times’ interview of Ge Jianxiong, professor and director of Institute of Chinese History and Geography Studies of Fudan University, coinciding with the decline of Qing’s power was the end of its reclusive Closed Door Policy. Central and local governments turned a blind eye to foreigners entering the Chinese border.

After the signing of Boxer Protocol (1901), an unequal treaty that disadvantaged China, the Qing Dynasty established Ministry of Foreign Affairs. Not until then did China begin to introduce the concept of citizenship and passport.

In 1909, Qing government implemented China’s first Nationality Law, in which it stated that, “If one of Chinese descent that was born and/or live in a foreign country is willing to be a citizen of China, s/he still has Chinese citizenship.”

During the rule of the Republic of China, Chinese and foreigners could enter and exit unimpeded as long as they have the means, Therefore, nearly two thousands of Jewish refugees poured into Shanghai during World War II to stay in temporary shelters.

In 1955, the Communist China abolished previous nationality laws and thereby forbids anyone to hold at the same time Chinese and foreign passports.

According to Wang Huiyao, Vice Chairman of China Western Returned Scholars Association, So far, over 90 countries and regions worldwide recognize multiple citizenships. Among them, most of those that did not flop over until recent years are emergent countries that are the birthplace of a large population of high-end talents who now reside abroad, such as South Korea, Vietnam, India, Philippines, Brazil and Mexico.

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6 comments to “Should China lift the ban on dual citizenship in the wake of the emigration wave?”

  1. Cleo | February 7, 2011 | Permalink Reply

    You don't need a Chinese citizenship to do good in China or show your feelings for the Chinese people. One of the main characters who inspired the movie Chariots of Fire was a Scotsman who built a school for Chinese children that is still in operation today and he is still remembered by the student; he died as a Japanese prisoner of war. There are so many construction projects and charitable programs that China needs. If you really love China, you don't need special economic advantages of having dual citizenship which I guarantee will mainly be used to get the best of both worlds in terms of social security and real estate speculation. I think China has a very good idea about it's own investment attractiveness and about ethnic Chinese carpetbaggers.

  2. Doug Crets | February 8, 2011 | Permalink Reply

    An interesting take. But I don't think the issue of offering dual citizenship is what creates the resentment. Nor do I think that the real issue at hand is where the money is going. To me this seems like a nationalistic form of learning curve. What is really at stake here is opportunity and who can afford to enjoy it. Not that many in China are living with the means to do such thing. And it would seem to be shooting their own feet for the Chinese government to suddenly limit who can go overseas to learn, because in the end, it limits those at home, too.

  3. wilson | August 18, 2011 | Permalink Reply

    most of the Chinese who imigrate overseas do it out of greed and selfishness. i would not exactly call this a "better life"

    • madness-yang | August 30, 2013 | Permalink Reply

      How can you call them greedy and selfish? Simply because they are pursuing their happiness?

  4. Jeffrey | June 30, 2012 | Permalink Reply

    China and Japan does not recognize dual citizenship or dual nationality if they do, then their people will not be true and loyal to their country and the love for ones country and identity will decline, investor nationality or business citizenship isn’t nice because you just make your country look like cash cow !!!!!!!!!

  5. Joe schmo | October 8, 2012 | Permalink Reply

    This post erroneously implies that all Chinese who emigrated to Canada entered the country as “investment class” immigrants and brought money capital to invest in Canada. This is simply not the case. In fact, most immigrants enter based on their “human capital” or education and do not bring money to invest, so the idea that 25,000 Chinese that emigrated to Canada caused CAD$10 billion dollars to flow out of the country and into Canada is also not true.

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