Chinese leader Deng Xiaoping is restored to power.

Deng Xiaoping (22 August 1904 – 19 February 1997), also known by his courtesy name Xixian (希贤), was a Chinese revolutionary leader, military commander and statesman who served as the paramount leader of the People's Republic of China (PRC) from December 1978 to November 1989. After Mao Zedong's death in 1976, Deng gradually rose to supreme power and led China through a series of far-reaching market-economy reforms earning him the reputation as the "Architect of Modern China". He contributed to China becoming the world's largest economy in terms of its purchasing power in 2014.Born in the province of Sichuan in the Qing dynasty, Deng studied and worked in France in the 1920s, where he became a follower of Marxism–Leninism and joined the Chinese Communist Party (CCP) in 1924. In early 1926, Deng travelled to Moscow to study Communist doctrines and became a political commissar for the Red Army upon returning to China. In late 1929, Deng led local Red Army uprisings in Guangxi. In 1931, he was demoted within the party due to his support of Mao, but was promoted again during the Zunyi Conference. Deng played an important role in the Long March (1934–1935), the Second Sino-Japanese War (1937–1945) and the Chinese Civil War (1945–1949). Following the founding of the PRC on 1 October 1949, Deng worked in Tibet as well as in southwest China as the regional party chief to consolidate CCP control until 1952, when he returned to Beijing to serve in the central government. In 1955, when the PLA adopted a Russian style rank system Deng was considered for the rank of Marshal of the People's Republic of China which he declined to accept. As the party's Secretary-General under Mao and Vice Premier in the 1950s, Deng presided over the Anti-Rightist Campaign launched by Mao and became instrumental in China's economic reconstruction following the disastrous Great Leap Forward (1958–1960). However, his right-leaning political stance and economic policies eventually caused him to fall out of favor with Mao, and he was purged twice during the Cultural Revolution (1966–1976).

Following Mao's death in September 1976, Deng outmaneuvered the late chairman's chosen successor Hua Guofeng and became the de facto leader of China in December 1978 at the 3rd Plenary Session of the 11th Central Committee. Having inherited a country beset with institutional disorder and disenchantment with Communism resulting from the chaotic political movements of the Mao era, Deng started the "Boluan Fanzheng" program which gradually brought the country back to order. From 1977 to early 1979, he resumed the National College Entrance Examination that had been interrupted by the Cultural Revolution for ten years, initiated the Reform and Opening-up of China, designated special economic zones including Shenzhen, and started a one-month Sino-Vietnamese War. On 1 January 1979, the PRC established diplomatic relations with the United States, and Deng became the first Chinese paramount leader to visit the U.S. In August 1980, Deng embarked on a series of political reforms by setting constitutional term limits for state officials and other systematic revisions, which were incorporated in China's third Constitution (1982). In the 1980s, Deng supported the one-child policy to cope with China's overpopulation crisis, helped establish China's nine-year compulsory education, and launched the 863 Program for science and technology. Deng also proposed the One Country, Two Systems principle for the governance of Hong Kong and Macau, as well as the future unification with Taiwan.

The reforms carried out by Deng and his allies gradually led China away from a planned economy and Maoist ideologies, opened it up to foreign investment and technology, and introduced its vast labor force to the global market, thus turning China into one of the world's fastest-growing economies. He was eventually characterized as the "architect" of a new brand of thinking combining socialist ideology with free enterprise, dubbed "socialism with Chinese characteristics" (now known as Deng Xiaoping Theory). Despite never holding office as either the PRC's head of state or head of government nor as the head of CCP, Deng is generally viewed as the "core" of the CCP's second-generation leadership, a status enshrined within the party's constitution. Deng was named the Time Person of the Year for 1978 and 1985. He was criticized for ordering a military crackdown on the 1989 Tiananmen Square protests, yet was praised for his reaffirmation of the reform program in his Southern Tour of 1992 as well as the reversion of Hong Kong to Chinese control in 1997 and the return of Macau in 1999.