[8] As a result, pro-Qing restorationist groups, most notably the Royalist Party, remained an underrepresented, but powerful factor in Chinese politics during the 1910s.

On the morning of July 1, 1917, the royalist general Zhang Xun took advantage of the unrest and entered the capital, proclaiming the restoration of Puyi as Emperor of China at 4 am with a small entourage and reviving the Qing monarchy which had been abolished on February 12, 1912.

[18] Before taking refuge in the Japanese embassy, Li had taken certain measures, including leaving the presidential seal in the Presidential Palace, appointing Vice President Feng Guozhang as Acting President, and restoring Duan Qirui as Premier, in an attempt to enlist them in the defense of the republic.

[20] Zhang was faced with overwhelming odds; almost all of the Northern Army was opposed to him and he was forced to withdraw after republican troops seized control of the two main railway lines to the capital.

[20] Duan Qirui ordered an aerial bombardment of the Forbidden City compound, and a Caudron Type D aircraft, piloted by Pan Shizhong (潘世忠) with bombardier Du Yuyuan (杜裕源) was dispatched from Nanyuan Airbase to drop three bombs over the Forbidden City, causing the death of a eunuch, but otherwise causing minor damage; other sources state that the Caudron aircraft was piloted by the principal of the Nanyuan Aviation School, Qin Guoyong (秦國鏞).

On the ninth day of the Restoration, General Zhang resigned from his appointed positions, retaining only the command of his troops in the capital, which were surrounded by republican forces.

[21] The restored imperial court prepared an edict of abdication for Puyi, but fearful of Zhang's royalist forces, did not dare proclaim it.

[21] The imperial court began secret negotiations with republican forces to prevent an assault on the city, even asking the foreign legations to mediate between the parties.