No, squatting in China is illegal under the Property Law of the People’s Republic of China and Criminal Law, with penalties including fines, forced eviction, and imprisonment for aggravated cases. Local Public Security Bureaus (PSB) and neighborhood committees enforce evictions under the Urban Management Law, while the 2026 Civil Code Amendments tighten property rights enforcement. Unauthorized occupation of state or private land triggers immediate legal action.
Key Regulations for Squatting in China
- Property Law (2007): Prohibits unauthorized occupation of land or buildings, classifying it as a civil violation with restitution obligations.
- Criminal Law (Article 266): Theft of property via squatting may escalate to criminal liability if damage exceeds ¥30,000 or involves violence.
- Urban Management Law (2018): Empowers local PSB and urban management teams (Chengguan) to dismantle illegal structures within 48 hours, often without judicial review.
Recent enforcement trends reflect stricter compliance under the 2026 Property Rights Protection Plan, mandating digital land registries to flag encroachments. Rural squatting faces additional scrutiny under Land Management Law revisions, where collective land misuse risks collective punishment. Foreign entities investing in Chinese real estate must conduct due diligence to avoid inadvertent violations.