The C standard states:
ISO/IEC 9899:1999, 6.2.5.15 (p. 49)
The three types char, signed char, and unsigned char are collectively called th
On some machines, a signed char would be too small to hold all the characters in the C character set (letters, digits, standard punctuation, etc.) On such machines, 'char' must be unsigned. On other machines, an unsigned char can hold values larger than a signed int (since char and int are the same size). On those machines, 'char' must be signed.
in those good old days C was defined, the character world was 7bit, so the sign-bit could be used for other things (like EOF)
"Plain" char having unspecified signed-ness allows compilers to select whichever representation is more efficient for the target architecture: on some architectures, zero extending a one-byte value to the size of "int" requires less operations (thus making plain char 'unsigned'), while on others the instruction set makes sign-extending more natural, and plain char gets implemented as signed.
I suppose (out of the top of my head) that their thinking was along the following lines:
If you care about the sign of char (using it as a byte) you should explicitly choose signed or unsigned char.
Perhaps historically some implementations' "char" were signed and some were unsigned, and so to be compatible with both they couldn't define it as one or the other.