This research argues that State-led Nationalism of China in the 1990s was characterized by the ideas of Confucianism such as ``Loyalty`` and ``Harmony.`` After the end of the Cold War and the Tiananmen Incident, Chinese government started to face the rapid decay of Communist ideology in China. Chinese leaders constructed and enacted a State-led Nationalism to sustain their legitimacy, maintain social cohesion and change the western perception of ``China Threat.`` These leaders utilized the Confucian concept, ``Loyalty`` and ``Harmony,`` and launched the Patriotic Education Campaign nationwide and Confucius Institute throughout the world.