The Chinese animation industry was practically put on pause for a decade until 1976 when the cultural revolution was over.
Animations such as Little Trumpeter in 1973, a story about a young boy named "Xiaoyong" who became a heroic red guard soldier. Other animations from the same year include Little 8th Route Army, a story about a boy taking on revenge against the imperial Japanese army. Or Little Sentinel of East China Sea a story about a young girl named "Jiedaling" who followed 3 chemical warfare workers in disguise, and called upon the people's liberation army to wipe out the enemy.
Reform period (1978 - 1989)
By 1978 it was clear that significant damage have been done by the Cultural Revolution. An indication of where China has dropped in rank was apparent. In the 20 year span from 1960 to 1989 from the theater standpoint, the majority of cartoons in Hong Kong were imported from the US. It was typical to play American movies in major cinemas preceded by an American cartoon segment. Sometimes the segment would even be shown in its entirety. An MGM or Disney movie was almost certain to be preceded by another Disney animation.
From the home animation standpoint, Japan have already emerged as the dominant animation provider in the Far East. Their export of anime TV series reached Hong Kong, Europe and the Middle East in mass quantities via analog broadcasts directly to home. Some of the more popular shows include Doraemon and Transformers, which was accompanied by one of the most successful toyline in history. It was difficult for China to compete directly at home or on the big screen.
Nonetheless the Chinese animation industry would begin to reproduce animations in a new direction. Shanghai Animation Film Studio launched 219 animation films in the 1980s. In 1979 Nezha was one of the first notable animations shown during the rebirth period. Other films include Snow Kid (1980), Lao Mountain Taoist (1981), The Deer's Bell (1982) and Legend of Sealed Book (1983). Among the works Three Monks (1980) was one of the few animations that managed to earn awards.