China has developed a three-tier special education service delivery system consisting of an array of placement options of special schools, special classes and learning in regular classrooms (LRC) (with the LRC as the major initiative) to serve students with disabilities after 1980s responding to the international trend of inclusive education mandate. How to balance the development of special education schools (classes) and inclusive education remains controversial. The authors found that special education provision in China has been improved in scale and quality with the expansion of special schools and LRC programmes both to have formed a parallel special education system. The authors argue that the boundaries between special and regular e...