Urbanisation in China during the Maoist period was largely a consequence of centralised planning and Soviet-type industrialisation dominated by the growth of cities. The towns lost their commercial function and stagnated. Since the reforms of 1978, the growth of towns has emerged as a new force of Chinese urbanisation. This case study of the growth of towns in Jiangsu province shows that enterprises in the towns have attracted a large number of daily commuters and some migrants, resulting in a more diversified pattern of population composition in the towns. The population of the towns is growing at a faster rate than the city population. Manufacturing dominates the employment structure of the designated towns, including county capitals, as well as the rural market towns. The central government of China has not played any active role in the growth of towns. If the towns and town enterprises are allowed to grow for an extended period of time, they may lead to the emergence of a more powerful track of 'urbanisation from below' to accompany the established track of 'urbanisation from above'.
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