Engagement: 1979-2016
As China embarked on a period of significant transformation under Deng Xiaoping's "reform and opening up" policies, its relationship with the United States and the broader international community improved. This shift marked a departure from the country’s previous isolationist stance, as China adopted a pragmatic and liberalizing approach to bolster its economic strength and global position. However, the influx of foreign ideas that accompanied this increased engagement posed a dilemma for Chinese leaders: How could China embrace economic liberalization while simultaneously controlling the spread of Western-style democratic ideals among its populace?
January 29, 1979-1980s:
Chinese Vice Premier Deng Xiaoping arrives in Washington D.C., the first visit by a high-ranking Chinese leader to the United States. The rise of Deng Xiaoping also marked the beginning of mass reform in China with the ultimate goal of modernization and the integration of China into the global capitalist economy, a feat which promoted increased relations with the United States and its economy.
Following Mao's death in September 1976, Deng Xiaoping's superior political skills and support base led Hua Guofeng, Mao's successor, to surrender his position to Deng. Having been subject to prior persecution by extreme Mao supporters during the Cultural Revolution as a result of advocating for reformist economic policies, Deng Xiaoping was a staunch supporter of modernization and increased interactions with foreign markets. A year prior to his visit to the United States, Deng Xiaoping held a major gathering in Beijing that outlined his vision and policies of "reform and opening up" which would change China forever. China's relationship with America became an intrinsic component of modernization, with many senior party leaders believing that the United States would provide China the technology and investment necessary to grow stronger and more prosperous. As such, experts from Japan and the United States were increasingly invited to China for collaborations and exchanges to propel the nation's economy.
As Deng proclaimed the beginning of a new era in China marked by economic liberalization, groups of poets, students, writers, and thinkers influenced by American ideals began expressing their visions towards greater individual feedoms in China. In October 1978, the Democracy Wall appeared in central Beijing, brimming with countless essays, writings, and poems in protest of political and social issues in China. This moment not only highlighted the growing desire for change but also showcased the difficulties the People’s Republic faced in reconciling its traditional system with the new ideas of reform influenced by American values.
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A few weeks before Deng Xiaoping’s landmark visit to the United States, China and the U.S. formalized diplomatic relations—an essential breakthrough for Deng and a crucial step toward his ambitious “reform and opening-up” agenda. Deng viewed the United States as central to China’s modernization strategy. Although Deng was typically reserved, he was notably communicative during the trans-Pacific flight, reportedly expressing:
“As we look back, we find that all of those countries that were with the United States have been rich, whereas all of those against the United States have remained poor. We shall be with the United States.”
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This statement marked a significant shift from Beijing’s earlier posture. Since President Nixon’s historic visit to China in 1972, which ended two decades of tension, a “tacit alliance” had developed between Washington and Beijing. This alliance was initially driven by shared strategic and geopolitical interests, particularly in countering Soviet influence. However, Deng’s vision extended beyond mere strategic partnership. He sought to leverage the new relationship to catalyze China’s modernization by integrating with the capitalist West.
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Deng was prepared to move beyond the Maoist era’s “revolutionary” rhetoric, aiming instead to position China as a participant in the global capitalist system. This strategic realignment marked a significant moment in China’s international relations, signaling a departure from Cold War-era antagonism and setting the stage for a new phase of global engagement. In this light, the end of the Cold War for China could be seen as occurring in the mid-to-late 1970s with Deng’s reforms and the nascent U.S.-China rapprochement, rather than in the late 1980s or early 1990s.
“China’s “Democracy Wall,” a bus depot in Beijing where a growing number of handwritten “big character” posters that criticized the government and aired personal grievances appeared on its walls. 1979.” Source: Liu Heung Shing, published by Tiffany May/New York Times
"Deng Xiaoping wears a cowboy hat presented to him at a rodeo in Texas on February 2, 1979.” Source: CFP/Gilbert UZAN/Gamma-Rapho/Getty Images, published by Global Times
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June 4, 1989
A series of protests and demonstrations at Tiananmen Square culminate into violent clashes with the People's Liberation Army (PLA), leading to the infamous Tiananmen Square Massacre. Many foreign governments, particularly those of the United States and Europe, swiftly condemned the killing of students and protestors alike. As such, economic and diplomatic sanctions followed.
With China's massive economic growth propelled by policies of liberalization came increased sentiments for further political and economic reform. As the nation began opening up to the wider world, many Chinese gained greater access to foreign ideas and resources that further instigated the desire for democratic change in China. At the forefront of support for reform were China's intellectuals, university students, and professors: in the 1980s, the PRC began promoting the role of intellectuals in developing the rising nation. Yet, the government would not hold these sentiments for long. A letter penned by astrophysicist Fang Lizhi in January 1989, who requested that the government pardoned imprisoned political dissidents as the 40th anniversary of the PRC approached, began a growing chain of open letters from leading scientists and renown writers. PRC officials such as Hu Yaobang, who was later forced to resign his position as General Secretary due to his tolerance of "bourgeois liberalization", that is, political and liberal reforms, was among the staunch supporters of Chinese intellectuals in encouraging reform. His sudden death on April 15th, 1989, led countless university students to the streets of Beijing in protest for greater individual rights and less corruption within the government. Additional catalysts leading to the outbreak of protests also included the high inflation rate which ran above 20%, along with the spike in unemployment, only increasing calls for new leadership and reform. The violent military crackdown on protests resulted in a death toll ranging from hundreds to several thousands, with thousands more wounded.
While it holds true that the Tiananmen Square protests are not directly connected to U.S.-China relations, they nevertheless had a significant effect on how the United States perceived China as a whole, also leading to various economic sanctions along with deteriorated trading relations. Specifically, then-president George Bush announced the suspension of military arms sales to China along with the halting of high-level exchange meetings between American and Chinese government officials. Additionally, American exports to China experienced a notable decline, dropping from $58 billion in 1980 to $48 billion in 1990 (Allen 154). Worsened perceptions of China occurred not only within the government, but within the American public itself. According to The Pew Research Center, 72% of Americans expressed a "very or mostly favorable view of China" in the months leading up to the massacre; by August 1989, this number had decreased to 34%. To this day, this event continues to be highly censored in China, often leading others to create nicknames to bypass online restrictions and avoid confrontations with government officials (e.g. Eight Squared; 82=64).
"This turmoil was not a chance occurrence. It was a political turmoil incited by a very small number of political careerists after a few years of plotting and scheming. It was aimed at subverting the socialist People's Republic."
- The Truth About the Beijing Turmoil, the official account of the "Tiananmen incident" by the PRC
“We make no attempt to conceal the aim of the current student movement, which is to exert pressure on the government to promote the progress of democracy. People’s yearning for democracy, science, human rights, freedom, reason, and equality, which lack a fundamental basis in China, have once again been aroused.”​
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- Wang Dan, student leader at the Tiananmen Square protests
“Residents of Beijing surround an army convoy of 4,000 soldiers on May 20, 1989, in a suburb of the city.” Source: Ed Nachtrieb/Reuters, published by Diego Lopez/The World
“A sea of student protesters gathers in Tiananmen Square, Beijing, on May 4, 1989.” Source: Peter Turnley/Corbis/VCG via Getty Images, published by ABC News
December 11, 2001
The People's Republic of China is officially admitted into the World Trade Organization (WTO). This significant development led to the flourishing of China's economy: China's gross domestic product (GDP) increased by "more than 400%" , along with exports exceeding 500% since its formal accession into the WTO. Amazingly, China's "share of world trade tripled to more than 10% (Pomfret 592).
"Today the House of Representatives has taken an historic step toward continued prosperity in America, reform in China, and peace in the world. . . it will open new doors of trade for America and new hope for change in China."
- U.S. President Bill Clinton
Why did China desire to become a part of the World Trade Organization? By adhering to the policies of the international trade organization, freer trade and accessible trade barriers between other participating nations are guaranteed. For China, accession into the WTO signified its economic and cultural "opening" to the world, letting go of their previous isolationist policies to allow the development of more competitive Chinese industries that promoted economic growth. American officials within the Bush administration staunchly supported China's accession into the WTO, convinced that economic liberalization in China would inevitably lead to political reform and the growth of American-style democracy in the authoritarian nation. U.S. President Clinton reasoned that, by joining the WTO, China would be responsible for following the principles and rules set in place by the organization, policies of which included the protection of intellectual property rights along with the reduction of tariff rates. To the United States, it appeared to be a win-win situation; China, through opening its market, would be led on "the path to democracy", while greatly increasing its economy and living standards of the rising nation. As clear now, only one of those exception were met: China's incredibly rapid economic growth and rise as a global power. Statistics show that from 1990 to 2015, the percentage of Chinese living under poverty (living under $1.90 per day) decreased from 67% to under 1%. Additionally, goods traded between China and the United States increased from <$100 billion to ~558 billion in 2019. In 2010, China surpassed Japan, the world's second largest economy behind the U.S. China continues to stand as the world's second largest economy, holding a GDP of $18.53 trillion as of 2024 (Q1). ​​
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​China's entry into the WTO held mixed consequences for the United States. American consumers gained access to cheaper goods from China, while corporations gained increased access to China's market. Though, the cheaper labor provided by China led to increased concerns about the loss of manufacturing jobs in the United States. Between 2009 and 2011, a study concluded that competition sourced from cheap Chinese labor led to the loss of nearly 1 million American manufacturing jobs during the time frame, though this reason is sometimes disputed as this trend occurred during the increased implementation of machines/robots into manufacturing processes in the U.S. Politically, the expectations held by Clinton were not met. Given that China attained greater economic independence from the United States, it no longer felt a strong sense of urgency to maintain utmost cordial relations with the United States. Moreover, China felt decreased pressure from the United States as the U.S. ceded its ability to impose major sanctions to the World Trade Organization. Opposite to the hopes of American officials, greater economic growth did not lead to liberal reform, but rather greater government power and control over Chinese businesses and corporations. The PRC, particularly under Xi Jinping, has used the sustainment of a stable economy as justification for increased government regulation. Official WTO disputes involving China, incurred by the country taking advantage of the organizations' benefits while ignoring other restrictions, have led to accusations that China is cheating the system set in place. A majority of said allegations pertain to mass Chinese exports while the country remains closed to many foreign products, a trend noted in the illustration below. Out of 43 cases led against China, the United States has accounted for 23 of them.
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