SPECIAL EDITION: The Hidden Power Struggle Reshaping China: Xi Jinping's Dramatic Fall from Grace

Behind the carefully choreographed images of Xi Jinping meeting world leaders in Kazakhstan for the China-Central Asia Summit (June 2025) lies an extraordinary reality: China's seemingly all-powerful leader has been effectively dethroned in a silent coup, reduced to a mere figurehead while a military strongman now controls the world's most populous nation.

The man who orchestrated Xi's downfall is General Zhang Youxia, the 75-year-old Vice Chairman of the Central Military Commission. In a twist worthy of ancient Chinese prophecy, Zhang—whose name literally means "warrior with a bow"—has fulfilled a Tang Dynasty poem that Xi himself feared, which predicted a military leader would overthrow a "white-headed man" (Xi's name in classical Chinese means "white feather").

Key Players in China's Power Struggle

The evidence of Xi's loss of power is overwhelming. His loyalists have been purged on a massive scale across both military and civilian ranks. The propaganda machine has stopped using the reverential language reserved for supreme leaders, instead reverting to slogans from the Hu Jintao era. Most tellingly, the PLA Daily has been running an eight-part series titled "Clarifying Right and Wrong"—widely understood as a critique of Xi's leadership.

A telling moment came during the 2025 Two Sessions when Zhang Youxia didn't even bother turning his head as Xi walked behind him—a stark contrast to his deferential behavior just a year earlier. This body language spoke volumes about the real power dynamics.

The power shift became undeniable after Xi suffered a stroke last July. Zhang seized the moment, inviting party elders to intervene while initially allowing Xi to remain as a figurehead. But when Xi attempted several coups to regain control—using loyalists like Defense Minister Dong Jun and Admiral Miao Hua—Zhang responded decisively. Both men have since disappeared, with Miao arrested and Dong vanishing entirely, rumored to have either committed suicide or been executed.

Timeline of Xi's DownfallTimeline of Xi's Downfall

The most chilling warning came with the death of General Zhang Shengmin, Xi's former ally who had coordinated the coup attempts. His death was announced at exactly 12:12—a number that means "coup" in Chinese military parlance—sending an unmistakable message to Xi's remaining supporters. Some sources suggest Zhang Shengmin was literally "scared to death" after the failed coup attempts.

Zhang's power was dramatically displayed on June 6, when he personally led heavily armed PLA troops on a 12-hour patrol through Beijing, with soldiers carrying live ammunition and locking down major intersections. Videos of this patrol were reportedly shown to Xi, who muttered, "Well, he's three years older than me but looks 30 years healthier." The message was clear: the military answers to Zhang, not Xi.

Zhang's control is absolute because he commands Xi's personal security through General Zhou Hongxu, whom Zhang personally recommended for the position. When Xi tried to regain control by bringing back his former security advisor Wang Shaojin from retirement, Wang mysteriously died three months later.

But Zhang's ambitions appear limited to military control. Sources indicate he's backing a triumvirate for China's future leadership: Wang Yang as party leader, Hu Chunhua as premier, and himself controlling the military. This arrangement would mark a return to the collective leadership model that Xi had dismantled. Notably, Zhang distrusts the Jiang Zemin faction and has shown clear preference for Hu Jintao's reformist group.

Meanwhile, a remarkable comeback is underway. Hu Jintao, the former leader who was humiliated and dragged off stage at the 2022 Party Congress, is quietly reasserting influence from the shadows. His son Hu Haifeng suddenly appeared at the prestigious Lujiazui Forum on June 18—despite being a vice minister of civil affairs with no connection to high finance. His protégé Hu Chunhua has been everywhere since April, leading delegations to Africa and speaking at major conferences. Even Xi has started using Hu's old slogans about "scientific decision-making" and "democratic governance"—a clear sign of the shifting power dynamics.

The economic situation adds another layer of crisis. China faces what locals call "brick and mortar disasters"—infrastructure literally crumbling from decades of GDP-obsessed construction. In June alone, a major expressway in Guizhou split in half, leaving a truck dangling over a 100-meter drop. This follows three other deadly highway collapses in 2024, all results of a system that prioritized building over quality. Buildings supposedly designed to last 50 years are falling apart after 25-30 years, compared to 74 years in the US and 132 years in the UK.

The human cost is staggering. Government workers face 30-50% pay cuts, with Beijing even creating an Orwellian "Office of Pay Cuts" to manage the reductions. The government has banned officials from eating out—even on their own dime—if three or more dine together. This caused seven major liquor stocks to drop by over 10% in a single day.

Unemployment has spawned bizarre new businesses: fake offices charging $4-7 per day where jobless professionals pretend to work to hide their shame from families, and a booming market for "human feed"—liquid meal replacements that desperate workers gulp down between delivery runs. The human feed industry hit $3 billion in sales in 2024, with companies planning IPOs. Some unemployed youth have become "full-time grandchildren," caring for elderly relatives with government pensions as their only income source.

Major companies are collapsing—58.com, China's lifestyle platform, laid off 30% of its workforce (10,000 jobs) after already cutting 30-50% in 2023. Over 21 major protests erupted in just four days in June, with workers going unpaid for months—some for as long as ten months at places like the Hong Kong-invested Xiangxing Luggage Company. Even medical staff at Weinan Second Hospital haven't been paid in three months. The regime's response? Training riot police with attack dogs to suppress "threats" that look suspiciously like ordinary workers.

Zhang Youxia is now undertaking the most ambitious military reform in decades, dismantling Xi's signature five theater command system and reverting to the original seven military regions and four general departments. He's replaced Xi's mantra of "absolute political loyalty" with "absolute military efficiency"—a direct repudiation of everything Xi stood for. Notably, not a single commander from the five theater commands was invited to Zhang's extended CMC meeting, signaling their complete irrelevance.

As Zhang told a recent military gathering that has lasted over 10 days: the military will not wait forever. If the political standoff continues, the PLA is prepared to use "any means necessary" to resolve the leadership crisis and reshape China's future.

What we're witnessing isn't just a power struggle—it's the collapse of Xi Jinping's entire system. The man who dreamed of being emperor for life has been reduced to a puppet, while China's military quietly prepares for whatever comes next. The prophecy Xi feared most has come true: the warrior with the bow has struck down the white-headed man, and China's fate now rests in the hands of its generals.

This analysis draws from Lei's Real Talk on YouTube, which provides detailed coverage of China's internal political dynamics.