Published by ChinaMNC · Angren

Xuzhou Updates Land Acquisition Compensation Standards for 2026–2028: What Foreign Founders Should Know

Xuzhou's new land acquisition compensation standards set per-mu pricing by district, with rules for construction land, unused land, and crops. Here is a practical overview for foreign founders operating in China.

Xuzhou Publishes New Land Acquisition Compensation Standards

The Xuzhou Municipal People's Government has published a notice setting adjusted comprehensive land acquisition compensation standards for the city. The notice, issued under document number Xu Zheng Gui [2026] No. 2, applies from the date of publication through December 31, 2028. For foreign founders with operations, land use, or expansion plans in Xuzhou, the notice provides a useful reference point for understanding how land-related costs are calculated in the city.

The standards are based on the national Land Administration Law, its implementing regulations, the Jiangsu Provincial Land Administration Regulations, and a provincial notice on minimum compensation standards (Su Zheng Gui [2025] No. 5). The adjustment was approved by the provincial government and aims to protect the lawful rights of rural collective economic organizations and farmers whose land is acquired.

How the Comprehensive Land Price Is Structured

For agricultural land owned by rural collectives, the comprehensive land price has two components: land compensation and resettlement subsidies. It does not include the social security costs for affected farmers that are required by law, nor does it cover compensation for above-ground structures, young crops, or similar items.

District-by-District Standards

• Gulou District, Yunlong District, Quanshan District, and the Xuzhou Economic and Technological Development Zone: Each area is designated as a single zone. The comprehensive price is RMB 54,000 per mu, comprising RMB 28,000 per mu in land compensation and RMB 26,000 per person in resettlement subsidies.
• Tongshan District: The entire district forms one zone, with a comprehensive price of RMB 53,000 per mu, including RMB 27,000 per mu in land compensation and RMB 26,000 per person in resettlement subsidies.
• Feng County, Pei County, Suining County, Pizhou City, Xinyi City, and Jiawang District: Each is treated as a single zone. The comprehensive price is RMB 48,500 per mu, with RMB 26,000 per mu in land compensation and RMB 22,500 per person in resettlement subsidies.

The land compensation figures above apply to dry farmland. Where paddy fields or vegetable plots are involved, the per-mu amount increases by RMB 3,000 and RMB 14,000 respectively.

Rules for Other Types of Land

The notice also addresses land that is not agricultural. For collective construction land, compensation follows the comprehensive standard of the zone where the land is located. For collective unused land, compensation is set at 0.7 times the zone's comprehensive standard for collective agricultural land.

Where legally obtained collective operating construction land is acquired, compensation should be determined through parcel-specific land valuation, reflecting the principle of equal rights for equal land.

Water and Hydropower Projects

For land acquisition connected to large and medium-sized water conservancy or hydropower projects, compensation generally follows Xuzhou's standards. If standards set by the State Council or the Jiangsu provincial government are higher, those higher standards apply.

Social Security and Crop Compensation

Social security funds for affected farmers are raised, managed, and used in line with Jiangsu provincial rules (Su Zheng Fa [2021] No. 87) and Xuzhou's implementing opinions (Xu Zheng Gui [2022] No. 4).

Compensation for young crops and above-ground structures is set out in an attachment to the notice. The attachment includes detailed rates for trees, including general timber trees, economic fruit trees, pepper trees, mulberry plantations, and nursery stock, as well as for structures such as deep-water wells, hand-pump wells, greenhouses, and toilets. The attachment also specifies that trees and plants grown within cultivated fields are not compensated, and that portions exceeding reasonable plant densities are excluded.

Implementation and Transitional Arrangements

Local authorities are required to follow the Land Administration Law on acquisition scope, procedures, and compensation standards, and to pay land compensation, resettlement subsidies, and compensation for rural residences, structures, and crops fully and on time. Social security costs must also be arranged.

During implementation, authorities must manage the transition between old and new standards and address related legal risks. After acquisition is approved, any surplus in compensation and resettlement funds goes into the county or district land acquisition adjustment fund account; shortfalls are covered by local governments through the same account.

The notice applies from publication until December 31, 2028. For land acquisitions approved by the State Council or the provincial government between January 1, 2026 and the notice's effective date, any difference must be paid promptly under the new standards.

Practical Takeaways for Foreign Founders

Foreign founders evaluating sites, joint ventures, or expansion in Xuzhou should note that compensation standards differ by district and by land type. Projects involving agricultural land, collective construction land, or infrastructure may face different cost structures. Because the notice runs through the end of 2028, it offers a defined reference period for planning. Companies should confirm the specific zone and land category of any site and seek local advice on how the standards apply to their situation.

This summary is based on information published by the relevant Chinese government website and is general information, not legal or tax advice.

Foreign founders who need help registering or operating a company in China can contact ChinaMNC on WhatsApp or WeChat at +86 153 1898 8535.