How did the Open Door Policy help cement the United States’ influence on the global economy at the turn of the 20th century? How did the policy differ from previous diplomatic and militaristic actions?

The Open Door Policy (Chinese: 門戶開放政策) is a term in foreign affairs initially used to refer to the policy established in the late 19th century and the early 20th century that would allow for a system of trade in China open to all countries equally. It was used mainly to mediate the competing interests of different colonial powers in China. Under the policy, none of them would have exclusive trading rights in a specific area. In the late 20th century, the term also describes the economic policy initiated by Deng Xiaoping in 1978 to open up China to foreign businesses that wanted to invest in the country. The latter policy set into motion the economic transformation of modern China.[1]

The late 19th century policy was enunciated in US Secretary of State John Hay's Open Door Note, dated September 6, 1899 and dispatched to the major European powers.[2] It proposed to keep China open to trade with all countries on an equal basis and to keep any power from totally controlling the country and called upon all powers, within their spheres of influence to refrain from interfering with any treaty port or any vested interest, to permit Chinese authorities to collect tariffs on an equal basis, and to show no favors to their own nationals in the matter of harbor dues or railroad charges. Open Door policy was rooted in the desire of businesses in the United States to trade with Chinese markets. The policy won support of all the rivals, and it also tapped the deep-seated sympathies of those who opposed imperialism by its policy pledging to protect China's sovereignty and territorial integrity from partition. It had no legal standing or enforcement mechanism and China was not partitioned the way that Africa had been in the 1880s and the 1890s. However, the policy humiliated the Chinese because its government was not consulted, which created long-lasting resentment.

In the 20th-century and 21st-century, scholars such as Christopher Layne in the neorealist school have generalized the use of the term to applications in 'political' open door policies and 'economic' open door policies of nations in general, which interact on a global or international basis.

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