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This paper is engaged with the critical perspective that highlights the role of the state in the production of urban informality by examining the dynamics of informal land-use practices in Dongguan, China since 1978. Based on in-depth interviews and archival analysis, the relationship between informal land development, the state, and land institution change has been revealed. Our findings show that informal land development is practiced by village collectives from below in Dongguan as a response to the absence and limitation of the national land law. The local government handles the informality in a pragmatic way that serves the goal of economic development in different historical conditions by actions of encouraging, tolerating, and authorizing, suggesting that the definition of informality is not a neutral classification. It is argued that while informality represents people’s creativity in dealing with practical problems, when and to what extent it can be tolerated, formalized, and absorbed depends on the intention of the state in a specific historical context.
