9 pages., via online journal, Since 2014, the Chinese government has initiated new-type urbanization under the guidance of ‘the National New-type Urbanization Plan (2014–2020)’, which embarks on a significant transformation of the model of urbanization in post-reform China. To understand the origin and outputs of this policy, this article demonstrates the context of China’s new-type urbanization. The paper proposes a conceptual framework of new-type urbanization, which mainly includes four aspects: humanism, people-oriented urbanization; inclusivism, benefits sharing for urban and rural; sustainability, development without sacrifice of resources and environment; and harmonism, coordination. This is followed by an examination of the case of Anhui province, as a pilot province of China’s new-type urbanization. Anhui has performed a lot of related work to promote citizenization of peasant workers and has made great progress on the reform of the household registration system. The study found that despite a special emphasis on people-oriented urbanization, the pressures and costs of citizenization of peasant workers are growing fast, accompanied by rising housing prices in cities. This insight suggests there are benefits and costs of promoting China’s new-type urbanization. Despite the advantages of institutional innovation, the unexpected side effects such as rapid rising housing prices actually undermine the success of plan implementation.