This policy setting allows you to set the default translation direction for Chinese text. If you enable this policy setting, ...

This policy setting allows you to set the default translation direction for Chinese text.

If you enable this policy setting, the selected option will check the corresponding checkbox in the "Chinese Conversion" dialog. This dialog is found in the Review tab | "Convert with Options" button. This may only be visible when Chinese is enabled as an editing language. 

If you disable or do not configure this policy setting, either translation direction may be set.