Taking over the role of Navy Commander-in-Chief from his predecessor Ye Fei (who retired due to health problems), Liu had outlined a three-step process by which China would have a navy of global reach by the second half of the 21st century. In step one, from 2000 to 2010, China would develop a naval force that could operate up to the first island chain. In step two, from 2010 to 2020, China's navy would become a regional force capable of projecting force to the second island chain. In step three, to be achieved by 2040, China would possess a blue-water navy centered around aircraft carriers.[2] He was a strong advocate of the Chinese aircraft carrier programme.
Liu encouraged technological innovation within China that would increase naval capabilities, but he also advocated large foreign purchases. During the 1960s and 1970s, Liu was responsible for naval research and development before heading national military research.[3] He was also the top commander of the troops enforcing martial law to suppress the Tiananmen Square protests on 3–4 June 1989.[4] From 1992 to 1997 Liu was a member of the Politburo Standing Committee. He was the last Standing Committee member of an active military personnel. Since he left the Standing Committee in 1997, no other military leader has sat on the committee. Liu officially retired after stepping down as Vice Chairman of the Central Military Committee in March 1998.
^Dooley, Howard J. (Spring–Summer 2012). "The Great Leap Outward: China's Maritime Renaissance". The Journal of East Asian Affairs. 26 (1). Institute for National Security Strategy: 71. JSTOR23257908.
^Winterford, David (Winter 1993). "Chinese Naval Planning and Maritime Interests in the South China Sea: Implications for U.S. and Regional Security Policies". The Journal of American-East Asian Relations. 2 (4). Brill Publishers: 377. doi:10.1163/187656193X00121. ISSN1058-3947. JSTOR23613016.
^Wu Renhua (吴仁华) (2009). 六四事件中的戒严部队 [The Martial Law Force in the Tiananmen Square protests of 1989] (in Chinese). Hong Kong: Truth Publishing House.