MAGICAL REALISM
-- along the lines of speculative fiction, sci fi, unreal reality (China) - especially because in most magical realism literature, a few specific elements are shifted slightly and woven seamlessly into narrative that is mostly grounded in reality.

Magical realism writers/writers influenced by magical realist elements:
Gabriel García Márquez
Isabel Allende
Haruki Murakami
Eka Kurniawan
Jorge Luis Borges
Salman Rushdie
Alejo Carpentier
Toni Morrison

[ wikipedia ] : Origins[edit]
Literary magic realism originated in Latin America. Writers often traveled between their home country and European cultural hubs, such as Paris or Berlin, and were influenced by the art movement of the time.[27][28] Cuban writer Alejo Carpentier and Venezuelan Arturo Uslar-Pietri, for example, were strongly influenced by European artistic movements, such as Surrealism, during their stays in Paris in the 1920s and 1930s.[1] One major event that linked painterly and literary magic realisms was the translation and publication of Franz Roh's book into Spanish by Spain's Revista de Occidente in 1927, headed by major literary figure José Ortega y Gasset. "Within a year, Magic Realism was being applied to the prose of European authors in the literary circles of Buenos Aires."[29] Jorge Luis Borges inspired and encouraged other Latin American writers in the development of magical realism - particularly with his first magical realist publication, Historia universal de la infamia in 1935.[13] Between 1940 and 1950, magical realism in Latin America reached its peak, with prominent writers appearing mainly in Argentina.[13]

The theoretical implications of visual art's magic realism greatly influenced European and Latin American literature. Italian Massimo Bontempelli, for instance, claimed that literature could be a means to create a collective consciousness by "opening new mythical and magical perspectives on reality", and used his writings to inspire an Italian nation governed by Fascism.[1] Pietri was closely associated with Roh's form of magic realism and knew Bontempelli in Paris. Rather than follow Carpentier's developing versions of "the (Latin) American marvelous real," Uslar-Pietri's writings emphasize "the mystery of human living amongst the reality of life". He believed magic realism was "a continuation of the vanguardia [or Avant-garde] modernist experimental writings of Latin America".[1]

ULTRA-UNREAL

http://lithub.com/modern-china-is-so-crazy-it-needs-a-new-literary-genre/

Ning Ken, translated from the Chinese by Thomas Moran.

The first thing I should do, of course, is explain what I mean by “chaohuan,” which we are rendering in English as “ultra-unreal.” The literal meaning of “chaohuan” is “surpassing the unreal” or “surpassing the imaginary.” It is a word that a friend and I made up about a year ago during a conversation about contemporary Chinese reality. Not long after, I used the word in remarks I made at a conference in Hainan province. The conference was organized by the Institute of Literature at the Chinese Academy of Social Sciences, and recently the institute’s journal, the influential Literary Review, published an article that uses our coinage in its title. The word “ultra-unreal” is young; it’s a newborn baby. I confidently submit, however, that it is going to live a long, healthy life. China’s been pregnant with the word for at least 30 years. Maybe 50 years. Maybe even 100 years.

So, what has happened in China over the last 100 years? Well, let’s leave aside the more distant past and limit ourselves to just the last decade, during which much of Chinese reality has seemed like a hallucination. Some of the things that have actually happened have surpassed novels and movies in their inventiveness. Let me give a few minor examples that reveal something of the current Chinese reality.

There is a major anti-corruption campaign underway in China as I speak, and all the examples I am about to give were made public by the official Chinese media. In China, corrupt officials like to keep huge amounts of cash in their homes. In the past, investigators might find a stash of one million or ten million, but these days such an amount would be nothing. Early in 2015, a department head at the National Development and Reform Commission was investigated for corruption. In his apartment they found more cash than they could count by hand. They got currency-counting machines so they could zip right through the counting, but they burned out four of the machines before they got a final tally, which was more than 200 million Renminbi, which is about 31 million US dollars.

...