Modern Chinese literature refers to those works created between 1917 and 1949. This was a period when modern Chinese society underwent drastic changes. Changes also occurred in the literary realm. Foreign literature influenced traditional writing on two fronts. Writers abandoned the older literary language and began to use contemporary language to express themselves, and new and modified artistic forms and expressions were adopted into their writings. The outstanding literary forms are novels, essays, poetry, and drama.

Fiction accounts for the highest percentage of modern Chinese literature, and have exerted the most influence. The variety of these works extends from novels of social criticism during the late Qing dynasty (ca. early twentieth century) to various genre fiction such as romance, martial arts, and detective novels. These later genres became popular along with the rise of New Literature. Representative modern writers, such as Lu Xun (1881–1936) and Mao Dun (1896–1981), combined literature and politics into their writings; others became famous when they were still young, for instance, Zhang Ailing (Eileen Chang, 1920–1995) whose serial novel San lu xiang (The three incense-burners) earned her a reputation for fine psychological characterization. Some writers, such as Shen Congwen (1902–1988), chose to portray an ideal aesthetic life; whereas others, for instance, Yu Dafu (1896–1945), built their works around an emotion-centered axis. The hidden depths of the sub-consciousness were explored also, as in the novels of Shi Zhecun (1905–2003). Qian Zhongshu (1910–1998) used satire to portray the weakness of Chinese intellectuals during the War of Resistance Against Japan (1937–1945) while Xiao Hong (1911–1942) and Duanmu Hongliang (1912–1996) wrote with strong anti-Japanese sentiments in order to survive. Zhao Shuli (1906–1970) and others used vernacular language to portray rural life. Some writers were skilled at writing sensual and voluptuous plots such as Zhang Henshui (Chang Hen-shui, 1897–1967), Bao Tianxiao (1876–1973), and Zhou Shoujuan (1895–1968). Chivalrous swordsmen, both realistic and supernatural, can be found in works by authors such as Huanzhu louzhu (1902–1961); there were also Wu Jianren (1866–1910), who wrote one of the “four major condemnatory novels,” and others.

Among other literary genres, prose was the first literary form to gain ground from traditional Chinese literature. Beginning with Liang Qichao (1873–1929), modern prose writing quickly reached maturity. In the 1920s, writers such as the Zhou brothers (Zhou Shuren, pen name Lu Xun, and Zhou Zuoren), Yu Dafu, Hu Shi (1891–1962) and others proved that using vernacular language could create prose just as well as the more formal literary language. Up until the 1940s, more and more prose writers emerged. Among them was Liang Qichao who wrote in colloquial but powerful argumentative style. He pioneered a new path in the New Literature Movement; Zhou Zuoren (1885–1967), who was known for being both composed and carefree, expressed his opinions by writing about plants, insects, and local customs. Lin Yutang (1895–1976) wrote in a calm, clear, and fluent style, which was quite often humorous. Liang Yuchun (1906–1932), influenced by British essayists, wrote essays in a gentle and fresh style, which were full of ideas and wit. Feng Zikai’s (1898–1975) writings were plain, sincere, and without any affectation; and He Qifang’s (1912–1977) writings were delicate and exquisite but somewhat sentimental and melancholy.

Modern poetry emerged in the late nineteenth century when Huang Zunxian (1848–1905) and others advocated a poetry revolution. However, the rise of the New Literature Movement played an ever increasing role. Free-style poetry was born soon thereafter. During the 1930s, Guo Moruo (1892–1978), Bing Xin (Xie Wanying) (1900–1999), Xu Zhimo (1897–1931), and Ai Qing (1910–1996) made great efforts to expand poetic freedom. Free-style and colloquial poetry became the center of the poetic realm. The question of how to maintain the free poetic style on one hand, and how to create new poetic forms on the other soon became a major issue, and it was a goal that Wen Yiduo (1899–1946), Feng Zhi (1905–1993) and others strived to achieve. Among some of the representative writers, Guo Moruo’s poetic style was full of fervor, unconventional and untrammeled; Dai Wangshu’s (1905–1950) poetry was widely praised for its melancholy and rhythmical nature; Zang Kejia’s (1905–2004) highly polished works depicted the misery and perseverance of the peasants; Wen Yiduo’s poetry was written in a gloomy but beautiful unique style; the artistic ambiance of Feng Zhi’s lyric poetry was profound and elegant; and Mu Dan’s (1918–1977) poetic style was heavy and solemn.

Modern Chinese drama began when Liu Yazi (1887–1958), Chen Qubing (1874–1933), and Wang Xiaoyi (1858–1918) initiated the Drama Revolutionary Movement at Shanghai in 1904. Chinese students who had studied in Japan, such as Ouyang Yuqian (1889–1962), introduced influential new stage plays with characteristics from Japanese New Drama. After the rise of the New Culture movement, literary magazines such as New Youth introduced a large number of modern European dramas. In the 1920s and 1930s, plays by Cao Yu (1910–1996), Tian Han (1898–1968), Hong Shen (1894–1955), and Ding Xilin (1893–1974) were published in quick succession. It was a golden age for modern Chinese drama. Dramatic literature shone a light over all aspects of life: society, the family, the individual, as well as history and reality. Various styles of drama also emerged. But in the 1940s, wars and the worsening of the political climate significantly attenuated the richness of drama. Famous modern plays include Cao Yu’s Leiyu (Thunderstorm), Tian Han’s Mingyou zhi si (The death of a famous actor), Xia Yan’s (1900–1995) Kuang liu (Roaring flow), and Ding Xilin’s San kuai qian guobi (Three dollars in national currency).