Answered by ZUPAN
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Aug. 13, 2019 10:08
Your itinerary, under the condition that you don't have any additional stop of any kind within mainland China, is definitely eligible for 24 hour visa free transit. No, we can discuss about the potential issues that you may encounter. Well, to be allowed to exit the airport, you will have to apply for 24 hour free entry permit and here I strongly suggest that you book your accommodation in advance and to have a confirmation in hard copy, ready to be presented to the relevant authorities.
Here, I would like to inform you that the issuing of entry permit is not a passenger's right, but it depends entirely upon discretion of immigration authorities. This is the detail you have mentioned in your initial post that some people have not been allowed to enter the country. In reality, it was not their right and they were lawfully rejected for some reason. In the same time, they were not denied their right to transit without a visa. In my opinion, you will be granted an entry permit because of the length of your transit time, but you should definitely book your accommodation in advance to show that you will spend a night in the "legal" place.
My intention regarding the question of your exact time of transit was based on hope that your entire transit time was just a bit longer that 24 hours because in that case you would be eligible for 144 hour visa free transit and that means a granted exit from the airport.
To conclude, you will declare at the check-in in US that you will be traveling to Indonesia via Shanghai using 24 hour visa free transit and after your tickets are inspected, you will be allowed to board the plane. Upon your arrival in Shanghai, you will look after 24 hour TWOV counter and make your application there for your entry permit. Basically that's it.