This study reports on the acculturation and identity development of new immigrant youth in Macao. New Immigrant youth are defined as people who migrated to Macao from China as minors, after the year 2000, and arrived under Macao’s investment residency policy. Meanings and understandings are examined through cultural discourse analysis, paying close to attention to local ways of talking about and referencing new immigrants. The study uses Berry’s model of acculturation to understand attitudes and acculturation strategies, identity construction in interactions between local Macao and new immigrant youth. Data come from three focus group discussions conducted with new immigrant, local Macao youth, and a mixed group of local and new immigrant youth. Local Macao youth voiced a negative discourse that Macao is “invaded” by Chinese Mainlanders and new immigrants; mixed and new immigrant youth expressed a counter discourse, acknowledging, but rejecting or contextualizing negative understandings. These indicate that local youth are more likely to pursue strategies of separation or segregation from new immigrants, while new immigrants pursue an integrationist strategy. Findings point to multiple identity constructions, as local youth identified with Macao only, and new immigrants with both China and Macao.