China's capitalist reforms benedited Hollywood.
In 1994 Andrew Davis' The Fugitive became the first Hollywood blockbuster showed in China. The following year China increased to 10 the number of foreign films
allowed to be released in the country. By 2012 seven of the ten top movies
in China were Hollywood movies.
Hollywood studios started thinking consciously of the rapidly growing Chinese market.
For example, the Chinese audience indirectly influenced Hollywood into producing
movies that focused on visual effects and spectacular action scenes rather than on
dialogue. Especially difficult to translate in Chinese was a funny dialogue, hence
a bias emerged against comedies.
By the 2010s Hollywood was careful not to offend the Chinese Communist Party.
Nonetheless, China caught up with Hollywood and by the 2020s the top movies in China
were made in China and even had anti-US overtones, like
Wolf Warrior 2 (2017), in which the evil character is a US agent, and
The Battle at Lake Changjin (2021), about the defeat of the USA in the Korean War of 1950.
Chinese studios clearly had an advantage in movies with a lot of dialogue, like the
comedy Hi, Mom (2021) and the thriller Full River Red (2023).
But they also started matching Hollywood in visual effects and sensational
action scenes, like the computer-animated Ne Zha (2019) and the science-fiction
The Wandering Earth (2019) and its sequel The Wandering Earth II (2023).
Avengers - Endgame (2019) was the last major Hollywood hit in China.