Shanghai the 8th most expensive Asian city for expats

The cost of living in Shanghai is catching up with more expensive locations in the region such as Hong Kong and Taipei, according to the latest global cost of living survey.

The ECA cost of living survey listed Shanghai in 100th place among the top 300-plus most expensive cities in the world, up 23 spots from last year. Shanghai was also one position higher than Singapore among Asian cities, which ranked at 122nd place globally, according to the report.

This is curious, because a different survey suggested that Shanghai is supposed to be the 22nd most expensive. Of course, this was another consulting company researching with a completely different basket of goods.

ECA International, the world’s largest membership organization for international HR professionals, carries out the survey twice a year comparing a basket of 128 consumer goods and services commonly purchased by expatriates in more than 300 locations worldwide.

General manager of ECA International Hong Kong Lee Quane said that soaring food, oil and grain product prices, along with strengthening yuan against the US dollar pushed up the ranking. “The difference in living costs throughout China remains considerable,” he added.

For instance, Hong Kong is the highest ranked city in China, which remains at the 79th place in the world this year. It is followed by Taipei, which dropped back from 88th place to 94th this time.

Mainland Chinese cities, especially second-tier cities, reported rapidly rising living cost in the past 12 months: 95th-placed Beijing is the top-ranked city with a rise of 13 spots from that of last year. The cost of living for foreigners in Chongqing grew by about 12 percent, a figure which was double the rise in Beijing. Xiamen is in the 182nd place and is the least costly city for expatriates in China on the list, according to the report.

The survey also suggested that Seoul in South Korea beat Tokyo of Japan to be crowned the most expensive city in Asia.