The second was the Russian Empire's determination to achieve the twin goals of establishing its own preeminence in the country but at the same time ensuring Outer Mongolia's autonomy within the nascent Republic of China (ROC).
Finally, under the influence of the Russian Civil War, the Mongols expelled the Chinese warlords in 1921, and Mongolia regained its independence under the leadership of the Communists.
At the time, the government was still composed of a feudal Khanate, which held its system in place largely with the power of agriculture, as most traditional pastoral societies of East Asia had been.
The new state also reflected old ways; the Bogd Khaan adopted a reign title, "Elevated by the Many" (Olnoo örgogdsön), a style name used (it was believed) by the ancient kings of Tibet.
The Office of Religion and State, an extra-governmental body headed by a lama, played a role in directing political matters.
In 1914 the Ecclesiastical Administration ordered the government to defray the costs of a particular religious ceremony in the amount of 778,000 bricks of tea (the currency of the day), a gigantic sum.
The Tsar however, rejected the Mongolian plea for recognition, due to a common Russian Imperial ambition at the time to take over the central Asian states, and Mongolia was planned for further expansion.
Bogd Khaan said to Yuan Shikai, the President of the Republic of China "I established our own state before you, Mongols and Chinese have different origins, our languages and scripts are different.
A later delegation to Saint Petersburg sent notes to Western ambassadors announcing Mongolia's independence and formation of a pan-Mongolian state; again none responded.
There were other agreements between Russia and Mongolia in these early years concerning weapons, military instructors, telegraph, and railroad that were either concluded or nearly so by the outbreak of the First World War in 1914.
The Mongolian representative, Prime Minister Tögs-Ochiryn Namnansüren, were determined to stretch autonomy into independence, and to deny the Chinese anything more than vague, ineffectual suzerain powers.
Nevertheless, Outer Mongolia remained effectively outside Chinese control[23] and retained main features of the state according to international law of that time.
In 1913, the Russian consulate in Urga began publishing a journal titled Shine tol' (the New Mirror), the purpose of which was to project a positive image of Russia.
[26] The Russian diplomat Alexander Miller, appointed in 1913, proved to be a poor choice as he had little respect for most Mongolian officials, whom he regarded as incompetent in the extreme.
[29] In China this was interpreted in the context of the traditional tributary system, when all missions with gifts to Chinese rulers were considered as signs of submission.
In this regard, Chinese sources stated that a year later, the Bogd Khaan agreed to participate in an investiture ceremony – a formal Qing ritual by which frontier nobles received the patent and seal of imperial appointment to office; Yuan awarded him China's highest decoration of merit; lesser but significant decorations were awarded to other senior Mongolian princes.
The Cossack consular guards at Urga, Uliastai, and Khovd, traditionally loyal to the Imperial House of Romanov, had mutinied and left.
[33] Chen Yi sent telegrams to Beijing requesting troops and, after several efforts, was able to persuade the Bogd Khaan's government to agree to the introduction of one battalion.
By July 1918, the Soviet threat from Siberia had faded and the Mongolian foreign minister told Chen Yi that troops were no longer needed.
One was led by the Supreme Commander of the Baikal Cossacks, Grigory Semyonov, who had assembled a detachment of Buryats and Inner Mongolian nationalists for the creation of a pan-Mongolian state.
[38] On 4 August 1919, an assembly of princes took place in Urga to discuss Semyonov's invitation to join the pan-Mongolian movement; this was because Khalkhas were threatened by a pan-Mongolist group of one Mongolian and two Buryat regiments advancing from Dauria.
On 13 August 1919 Commissioner Chen Yi received a message from "representatives of the four aimags", requesting that China come to Mongolia's aid against Semyonov; it also expressed the desire of the Khalkha nobility to restore the previous Qing system.
Among other things, they proposed that the five ministries of the Mongolian government be placed under the direct supervision of the Chinese high commission rather than the Bogd Khaan.
Eventually, the princes agreed on a long list of principles, sixty-four points "On respecting of Outer Mongolia by the government of China and improvement of her position in future after self-abolishing of authonomy".
The Bogd Khaan sent a delegation to the President of China with a letter complaining that the plan to abolish autonomy was a contrivance of the High Commissioner alone and not the wish of the people of Mongolia.
President Xu Shichang sent a conciliatory letter to the Bogd Khaan, pledging respect for Mongolian feelings and reverence for the Jebtsundamba Khututktu and the Buddhist faith.
[48] The Bogd Khaan refused to affix his seal until compelled by the fact that new Prime Minister Gonchigjalzangiin Badamdorj, installed by order of Xu Shuzheng, and conservative forces were accepting the Chinese demands.
[52] The late Qing government had embarked on a grand plan, the "New Policies", aimed at greater integration of Mongolia with the rest of China and opened Han colonization and agricultural settlement.
The collapse of the Qing dynasty in 1911, conducted under the nationalistic catchwords of the Han Chinese, led to the formation of the Republic of China; later the initial concept was called "Five Races Under One Union".
According to the vew of the Russian Foreign Ministry, this Agreement recognized the statehood of Mongolia and her autonomy under purely formal suzerainty of China.