New local state power through administrative restructuring – A case study of post-Mao China county-level urban entrepreneurialism in Kunshan

► This paper aims to analyze new local power through administrative restructuring. ► Local authority can be upgraded from the category of ‘rural’ to that of ‘city’. ► Local authority can be granted more power through upgrading their rank. ► The development resources of local authority can be expanded ‘territorially’. By focusing on Kunshan, an economically advanced county-level city in the Yangtze River Delta, this paper aims to answer how, why, and under what circumstances the territorial power of Chinese urban entrepreneurial states is created in response to the dynamics of spatial economic development in the context of market transition and globalization. Although Kunshan is merely a county-level authority administratively, its economic performance in 2011 was better than that of several poor provinces, such as Hainan, Tibet, Qinghai, and Ningxia. Kunshan’s successful urban entrepreneurialism presents a unique ‘mismatch’ between ‘low’ administrative rank and ‘great’ economic performance (a big foot in a small shoe, dajiao chuan xiaoxie). I argue that Kunshan has developed several new local state powers through flexible administrative restructuring that explains the ‘mismatch’ puzzle and includes the following characteristics: (1) reclassification of Kunshan from county to county-level city, (2) relational adjustment by officially or informally raising Kunshan’s place rank and the cadre rank, and (3) boundary revision by virtual enclave enlargement. I conclude that the Chinese party-state system plays a role in Chinese county-level urban entrepreneurialism.