Shanghai vs. Hong Kong
Two massive cities, only 1,223km apart at the crow flies…but although they’re geographically close, they both have their own distinct identities.
When it comes to pitting one against the other, there are many different aspects to look at – not least the cost of living.
Hong Kong has long been the financial hub for China, and this works even though Hong Kong still has its own currency, laws, and parliament.
It is, however, under the sovereignty of China, and is known as a Special Administrative Region. Shanghai, on the other hand, is a city in mainland China, and is under the full ruling of the Chinese government.
So what does this mean for expats hoping to live and work in either city? Well, let’s take a look at the various different components to consider.
Employment
Subject to having the required visa (depending on your nationality – in general, acquiring a work visa for Hong Kong is slightly less of a challenge than for Shanghai), both cities offer good employment opportunities in every major sector.
In fact, it’s so common that there are even job fairs specifically for foreigners – such as the aptly named Job Fair, and those run by the Hong Kong Education and Careers Expo.
Both cities are so international that even if you don’t speak the local language, as long as you’re fluent in English you should be able to find employment.
But without a doubt, the salaries you can expect to earn in Hong Kong are far higher than that in Shanghai, by over 100%.
However, when looking at earning potential, it’s then necessary to offset this against the cost of living in each city.
Cost of Living
We take figures from up to the minute, crowd sourcing data websites Expatistan and Numbeo, and these are accurate as of end January 2016.
In general, with a few notable exceptions, it is far more expensive to live in Hong Kong (as you would expect from the difference in average salaries).
Individual aspects of the cost of living break down in the following manner:
Accommodation
Renting a property in Hong Kong will cost anything from 85% to 175% more than in Shanghai (depending on whether you wish to live right in the city centre or on the outskirts).
In both cities, the same as in most places around the world, it is more expensive to live centrally than on the periphery.
When it comes to purchasing a property, it will set you back between 117 – 220% more in Hong Kong. For example, a three bedroom apartment outside of the city centre here costs an average of 124,275 HK$, as opposed to 28,875 HK$ in Shanghai.
Utilities
Ah yes, it’s not only paying for the roof over your head, there’s then the dreaded bills… And once again, in Hong Kong you’re going to be paying far more for your electricity, heating, and water – to the tune of over 230%.
Internet is also more expensive, by around 20%, as are mobile phone tariffs, by around 3%.
Groceries
Once again, Hong Kong is the dearer location, with a few notable exceptions. Bread is cheaper here than in Shanghai, by around 14%, as are bananas (7%), cheese (25%) and lettuce (6%).
But most other staple foods are more expensive. For example, you’ll pay around 9% more for milk, over 20% more for eggs, 65% more for beef, and 80% more for chicken.
And when it comes to items such as rice, tomatoes, potatoes, and bottled water, you can expect to shell out around 150% more in Hong Kong than in Shanghai.
Entertainment
Eating out is again more expensive in Hong Kong. Expect to pay around 40% more in the lower range restaurants, and 26% more in a mid range. Strangely though, a McDonalds will actually cost you around 10% less in Hong Kong than Shanghai.
Joining the gym is more expensive in Hong Kong, by around 80%, but going to see the latest blockbuster at the movies is cheaper here than in Shanghai (by 5%).
And if you need to purchase some new trainers for your sporting needs, Hong Kong is the place to by them – at around 20% cheaper than Shanghai.
Travel and Transportation
Both cities are well covered by public transport. In Shanghai it’s the Metro, and in Hong Kong, the MTR.
But it’ll come as no surprise that using the MTR will set you back more than the Metro – with a monthly ticket costing around 90% more.
Taxis are also more expensive in Hong Kong – around 175% more. And although most people decide against having their own car in such cities, gasoline is also more expensive in Hong Kong by about 90%.
Necessity to Speak the Language
As mentioned above, if you have a good grasp of English, then it isn’t actually necessary to be able to speak either Cantonese (Hong Kong) or Mandarin (Shanghai) – and there are many expats around in both cities who you can converse with in your own language.
However, when moving to any other country, being able to speak even just a few words can make a huge amount of difference to your experience.
And whilst these languages might not be that easy to learn, it will really increase your ability to be able to interact with the locals – and it’s fun too!
Other Considerations
Hong Kong is surrounded by national parks and protected countryside. Within 20 minutes, it’s possible to get out of the city and be enjoying a walk amongst stunning costal scenery. Shanghai is somewhat different, and to get into the countryside is much more of a trek.
One other thing to mention when comparing the cities is the Internet. In mainland China, this is censored. You can’t officially access sites such as Facebook or YouTube.
People do get around this by using a VPN (virtual private network), but this is not without it’s own risks. In Hong Kong there is no such censorship.
Both cities have their plus points and minus points. However, both are very popular with foreign workers and have large expat communities.