1980 to 1989:Fast Changes

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  The decade spanning from 1980 to 1989 was a critical period for the development of China’s reform. After solving various historical problems, China’s reforms in various sectors proceeded comprehensively. Its opening up to the outside world progressed constantly. Its construction of democracy, legal institutions and socialist culture and ethics strengthened considerably, and an independent foreign policy of peace officially took shape. The People’s Liberation Army reformed in the direction of fewer but better prepared and equipped troops with Chinese characteristics.
  With the introduction of a three-step strategic plan for China’s modernization, the country embraced an era of various drastic changes brought by its reform and opening up.


  1980: Trial of Lin Biao and Jiang Qing Counter-Revolutionary Cliques
  On November 12, 1980, 10 defendants from the Lin Biao and Jiang Qing counter-revolutionary cliques went on trial in a special court of China’s Supreme People’s Court. It was the largest trial since the founding of the People’s Republic of China in 1949, heralding the beginning of a new era for China’s socialist democracy and legal institutions.


  1981: Issuance of Government Bonds
  To make up for a fiscal imbalance in the national treasury, in 1981 China officially began to issue its first government bonds. By doing so, China pooled financial resources to adjust and stabilize its national economy and advance socialist modernization. The 1981 government bonds were issued through administrative apportionment for state-owned enterprises, public institutions and individuals. The annual interest rate for individual buyers was four percentage points higher than organizational buyers.


  1982: One-Child Policy
  Since the founding of the People’s Republic of China, the country’s population started growing at high speed. Beginning from the 1960s, contradictions between population and economics, society, resources and the environment gradually became exacerbated. Thus, China decided to implement the family planning policy across the country. In 1982, family planning was made a basic national policy of China, and a nationwide one-child policy was implemented.


  1983: Development of YH-1 Supercomputer   On December 22, 1983, the YH-1, China’s first supercomputer capable of performing 100 million calculations a second, was successfully developed. With the fastest computing speed, the largest storage capacity and the strongest functionality in China at the time, the supercomputer served as an important tool for petroleum and geological exploration, medium- and long-term numerical forecasting, satellite image processing, calculation of large scientific research projects as well as national defense construction. The supercomputer played a key role in accelerating China’s modernization.


  1984: Resident ID Card
  From the founding of the People’s Republic of China in 1949 until April 6, 1984, Chinese citizens used household registration records and letters of certification as proof of identification rather than formal ID cards. In 1984, China began to issue its first-generation resident ID cards. Pictured is Betty Chandler(center), an American who gained Chinese citizenship and an expert working with Beijing-based Foreign Languages Press, giving a media interview after getting an ID card.


  1985: Military Contraction
  In the 1980s, Deng Xiaoping, then chairman of China’s Central Military Commission, declared that peace and development were the two major themes of the world. In May 1985, the Central Military Commission held an expanded meeting in Beijing at which it passed the decision to shift the guiding principle of China’s army in the new era from the war preparation and readiness to construction in peacetime. Deng announced at the meeting that a million people in the People’s Liberation Army would be discharged.


  1986: First Bankrupted Stateowned Enterprise
  Through coordinated reforms on pricing, economic planning, and commerce, China’s market system began to take shape. The central government gradually delegated power of economic control and management to local governments. On August 3, 1986, Shenyang Explosion-Proof Equipment Factory in Liaoning Province declared bankruptcy. It was the first state-owned enterprise to declare bankruptcy since the founding of the People’s Republic of China in 1949. At the end of that year, the Enterprise Bankruptcy Law of the People’s Republic of China went into effect for trial implementation. Pictured is “Bitterness after the Bankruptcy,” one of the most renowned news photos of that time.


  1987: China-Portugal Joint Statement on Macao
  On April 13, 1987, China and Portugal signed a joint statement on the question of Macao. According to the statement, Macao, which had been separated from the motherland for more than 400 years, would return to China on December 20, 1999. Previously, the Joint Declaration of the Government of the United Kingdom of Great Britain and Northern Ireland and the Government of the People’s Republic of China on the Question of Hong Kong was signed on December 19, 1984, which determined the date for Hong Kong’s return to China.


  1988: Market Pricing for Commodities
  Comprehensive reform provided a powerful impetus for China’s economic and social development. Beginning in 1988, formerly rationed commodities began being sold without limitations, and home appliances such as televisions could soon be found in ordinary homes. Pictured is the duty-free open market of Fuzhou Development Zone, which was opened in 1988. At this market, all commodities were priced according to the market, and customers could purchase imported goods.
  1989: Project Hope
  To help dropouts in poverty-stricken areas return to schools and improve the schooling conditions in China’s rural areas, the Central Committee of the China’s Communist Youth League and the China Youth Development Foundation launched Project Hope, a public service program, in 1989.
  Pictured is Su Mingjuan, a student of Sanhe Central Primary School in Taoling Township, Jinzhai County, Anhui Province, in class in April 1991. The image of this big-eyed girl thirsty for knowledge moved millions of people. Su became the face of Project Hope.

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