The Chinese government’s ethnic minority policy is under transition from state-centered approach to market-oriented one. While the role of state such as strict population control, resource allocation, and the guarantee of cultural right is on decrease, the power of market, which promotes destruction and reconstruction of ethnic minority community, is on the rise. Against this backdrop, an observation of the Korean Chinese community reveals that both state-centered construction and deconstruction, and market-oriented reconstruction have existed/exists in the community. This study examines state-centered construction (Mao Zedong era), transition from state-centered approach to market oriented one (Deng Xioping era), and market-oriented approach (post Deng Xioping era) in the process of construction, deconstruction, and reconstruction of the Korean Chinese community. Finally, from the theoretical standpoint of view represented by ethnic and enclave theory, it can be concluded that it is not the consequence of uniqueness of the Korean Chinese community, but a general trend across different ethnic minority groups, although the Korean Chinese community undergoes faster transformation due to the influence of neighboring their home country.