遵义会议
In 1933, as the Commander of Fujian and Jiangxi Provincial Military District, Xiao was defeated in a battle in Huchuan (), Jiangxi. The leaders of "Leftism" Wang Ming blamed Xiao for losing Lichuan () to the enemy, expelled him from CCP and sentenced him to five years' imprisonment. Fortunately, due to the effort of Mao Zedong and others, Xiao Jinguang was released to the Red Army University as a teacher and participated in the Long March with the Central Red Army. Owing to Xiao's contribution in defending the security of the Central Committee of Party, during the Zunyi Conference, the Party Central Committee corrected the erroneous treatment of Xiao Jinguang. Xiao was soon appointed Chief of Staff of the third corps of the First Red Army.