After the first two months of war, the ill-equipped and underprepared South Korean Army (ROKA) and the US forces rapidly dispatched to Korea were on the point of defeat, forced back to a small area behind a defensive line known as the Pusan Perimeter.
On 4 August 1950, with a planned invasion of Taiwan aborted due to the heavy US naval presence, Mao reported to the Politburo that he would intervene in Korea when the People's Liberation Army's (PLA) Taiwan invasion force was reorganized into the PLA North East Frontier Force.
On 20 August 1950, Premier Zhou Enlai informed the UN that "Korea is China's neighbor ... The Chinese people cannot but be concerned about a solution of the Korean question". Thus, through neutral-country diplomats, China warned that in safeguarding Chinese national security, they would intervene against the UN Command in Korea.
On 27 August, 67th Fighter Squadron aircraft mistakenly attacked facilities in Chinese territory and the Soviet Union called the UN Security Council's attention to China's complaint about the incident.