As a child, Xu lived in Chonghua New Village, on western Nanjing Road, in Shanghai's main business and shopping district.

During the Cultural Revolution Xu first was sent to family hometown of Tiantai in Zhejiang Province but later went to Guangchang, Jiangxi, where he would rose to deputy leader of his production team.

In 1973, Xu first partook in Gaokao, registering for faculty of Biology at Shanghai Normal College, only to be upset by Zhang Tiesheng's decision to submit a blank answer sheet for his Physics and Chemistry exam.

Aged 29 he was promoted to associate professorship at East China Normal, the youngest in Shanghai alongside Wang Huning, who taught politics at Fudan at the time.

[5] Xu moved to Hong Kong briefly with a fellowship, where he met Lee Ou-fan, who would later recommend him to study in the United States.