According to data from China's National Bureau of Statistics, the urbanization rate of permanent residents in China has increased by an average of 0.75 percentage point annually since the country's founding. 

Specifically, the period between 1996 and 2010 saw the fastest acceleration, with an average annual increase of 1.39 percentage points, marking a period of rapid urban expansion. The pace has since slowed. 

From 2011 onward, the annual growth rate averaged 1.19 percentage points before dropping to below 1 percentage point between 2021 and 2023. This indicated a deceleration of urbanization.

The deceleration is first and foremost related to China's overall economic slowdown in recent years. 

However, more critically, it aligns with the country's people-centered new urbanization strategy proposed in 2014, which shifted the focus of urban development from sheer expansion to the building of more livable, resilient and smart cities, thereby advancing high-quality urban development.

To promote orderly high-quality urban development, China has issued a series of policy documents related to the building of livable, smart and resilient cities. 

These include harmonious and livable city construction outlined in the 13th Five-Year Plan in 2016, smart city development proposed in the 14th Five-Year Plan in 2021, and the Guideline for Promoting the Construction of New-type Urban Infrastructure for the Development of Resilient Cities jointly released by the General Office of the Communist Party of China (CPC) Central Committee and the General Office of the State Council, China's cabinet, in November 2024. 

These policies emphasize strengthening urban infrastructure, particularly digital infrastructure, to improve the quality of life for urban residents and enhance urban governance.

The shift from urban development to urban governance aligns with the reform goal of modernizing the national governance and capacity formally introduced at the third plenary session of the 18th CPC Central Committee in November 2013. It was further clarified at the third plenary session of the 20th CPC Central Committee in July 2024 that by 2035, the country aims to modernize its system and capacity for governance and basically realize socialist modernization. 

Unlike the traditional administrative management, the development of a governance framework emphasizes greater participation and initiative from social actors. By continuously improving urban operation and management services, China has not only facilitated daily production and life for urban residents but also empowered them to effectively engage in urban governance, making it possible to enhance their urban governance capacity and level.

Since August 2020, China has been piloting the construction of new-type urban infrastructure in select cities. 

One of the key tasks is to establish urban operation and management service platforms so as to advance the scientific, refined, and intelligent management of cities. 

Building on the pilot experiences, the Ministry of Housing and Urban-Rural Development issued a notice in December 2021 to accelerate the comprehensive rollout of urban operation management and service platforms, along with related data and technical standards.

Essentially, these platforms have leveraged information technology and digital tools to integrate data related to urban operation management and services, enabling relevant monitoring, analysis and early warnings in real time. 

The platforms have helped governments at all levels improve the efficiency and quality of urban management. Beyond enhancing service efficiency from the supply side, some local platforms focus more on developing mechanisms to receive and address urban residents' needs from the demand side. 

For example, Beijing has deepened its reforms to immediately respond to complaints, fostering diverse forms of citizen participation and resolving issues at the grassroots level before they escalate. Similarly, Zhejiang Province has advanced reforms of its 12345 service hotline, shifting from a focus on resolving issues after complaints arise to before complaints even cropping up, thereby transitioning from passive response to active governance.