[1] The second set of missiles was fired in early 1996, allegedly intending to intimidate the Taiwanese electorate in the run-up to the 1996 presidential election.

The crisis began when President Lee Teng-hui accepted an invitation from his alma mater, Cornell University, to deliver a speech on "Taiwan's Democratization Experience".

A U.S. State Department official called the situation "embarrassing" and Lee complained that he was being treated as a second-class leader.

[6] On 7 July 1995, the PRC responded: the Xinhua News Agency announced missile tests would be conducted by the People's Liberation Army (PLA) and argued that this attitude would endanger the peace and safety of the region.

In the later part of July and early August, numerous commentaries were published by Xinhua and the People's Daily condemning Lee and his cross-strait policies.

[7]: 268  Simultaneously, the PRC concentrated naval and amphibious landing forces in the area of the strait and conducted military exercises.

[7]: 268  Tensions remained high in early 1996 as Taiwan prepared for its first presidential election and Lee Teng-hui ran on the Kuomintang's ticket.

[7]: 269 Shipping and insurance rates for freight to Taiwan radically increased during the crisis and two of the Chinese missile launches twice closed the straits to all sea and airborne commerce.

[4]: 225  Soon the People's Republic ordered Sovremenny-class destroyers from Russia, a Cold War-era class designed to counter U.S. Navy carrier battle groups, allegedly in mid-December 1996 during the visit to Moscow by Chinese Premier Li Peng.

The PRC subsequently ordered modern attack submarines (Kilo class) and warplanes (76 Su-30MKK and 24 Su-30MK2) to counter the U.S. Navy's carrier groups.

[19] According to Sankei Shimbun series "Secret Records on Lee Teng-hui" dated 1 April 2019, Tseng Yong-hsien, Lee's National Policy Adviser, received a direct message from China official in early July 1995; "Our ballistic missiles will be launched toward Taiwan a couple of weeks later, but you guys don't have to worry."

Tseng, as an envoy of Lee, had met President Yang Shangkun in 1992 and had a secret connection with Ye Xuanning, Head of the Liaison Department of the PLA.