According to the institution reform plan by the State Council, the top authority is to set up a national market supervision and management bureau as a new agency directly under the State Council.

The new agency aims to merge exiting agencies including the national industry and commerce management bureau, the national general administration of quality supervision, inspection and quarantine and CFDA. The existing agencies will be ceased from operations as a result.

The plan aims to integrate all the functions of the existing agencies into the new body. “The responsibilities of the existing agencies are not clear, which generated too many problems in implementation, which makes the merge necessary,” said Yu Xing’an, a CCPCC representative. (Source:Xinhua)

The association’s regulatory and sourcing manager Charles Diao compiled the below for more information across a variety of agencies that are changing and/or being created:

Ten points were summarized at the recent “Two Meetings” National People’s Congress(NPC) and Chinese People’s Political Consultative Conference(CPPCC). Of note to our industry is number 9:

1. The real estate economy will come to the end.
2. Civil servant will no longer be a lifelong secure job.
3. Unemployed graduates will become a normal situation.
4. There will be much more personal startups.
5. Physical stores will have a much harder time.
6. The time for sharing economy to get payoffs is coming.
7. Internet economy model is the trend.
8. New retail economy is steping into the time that consumption can create benefits.
9. Functional food will replace medical treatment.
10. Digital payment will replace paper cash, intelligent technology will become much more popular.

Here is the restructuring of organizations of China State Coucil. And I mark the adjustments which are related to our industry in RED.

Adjustments of Component Departments of the State Council
Establish Ministry of Natural Resources
Integrate responsibilities from:
1. Minisry of Land and Resources
2. National Development and Reform Commission
3. Ministry of Housing and Urban-Rural Development
4. Ministry of Water Resources
5. Ministry of Agriculture
6. State Forestry Bureau
7. State Oceanic Administration
8. State Bureau of Surveying and Mapping

Minisry of Land and Resources, State Oceanic Administration and State Bureau of Surveying and Mapping are cancelled.

Establish Ministry of Ecology and Environment
Integrate responsibilities from:
1. Ministry of Environmental Protection
2. National Development and Reform Commission
3. Minisry of Land and Resources
4. Ministry of Water Resources
5. Ministry of Agriculture
6. State Oceanic Administration
7. South-to-North Water Diversion Office

Ministry of Environmental Protection is cancelled.

Establish Ministry of Rural Area and Agriculture
Integrate responsibilities from:
1. Ministry of Agriculture
2. National Development and Reform Commission
3. Ministry of Finance
4. Minisry of Land and Resources
5. Ministry of Water Resources

Ministry of Agriculture is cancelled.

Establish Ministry of Culture and Tourism
Integrate responsibilities from:
1. Ministry of Culture
2. National Tourism Administration

Ministry of Culture and National Tourism Administration are cancelled.

Establish National Health Council
Integrate responsibilities from:
1. National health and family planning commission
2. China’s National Commission on Aging
3. Ministry of Industry and Information Technology.
4. State Administration of Production Safety Supervision and Management

National health and family planning commission is cancelled.

Establish the Department of Veterans Affairs.
Integrate responsibilities from:
1. Ministry of Civil Affairs.
2. Minister of Human Resources and Social Security
3. Political Work Department of the Central Military Commission
4. Logistics Department of Central Military Commission

Establish Minister of Emergency Management
Integrate responsibilities from:
1. State Administration of Production Safety Supervision and Management
2. General office of the state council
3. Ministry of Public Security
4. Ministry of Civil Affairs
5. Minisry of Land and Resources
6. Ministry of Water Resources
7. Ministry of Agriculture
8. State Forestry Bureau
9. China Earthquake Administration
10. National Disaster Reduction Committee
11. Headquarters of China Forest Fire Prevention

State Administration of Production Safety Supervision and Management is cancelled.

Rebuild Ministry of Science and Technology
Integrate responsibilities from:
1. Ministry of Science and Technology
2. State Foreign Expert Bureau

Rebuild Ministry of Justice
Integrate responsibilities from:
1. Ministry of Justice
2. Legislative Affairs Office

Optimize Ministry of Water Resources
Optimize Audit Commission
Ministry of Supervision is enrolled into State Supervisory Commission

Other adjustments of the State Council(Only relevant adjustments listed)
Establish State Administration of Market Supervision and Management
Integrate responsibilities from:
1. State Administration for Industry and Commerce
2. General Administration of Quality Supervision, Inspection and Quarantine
3. China FDA
4. National Development and Reform Commission
5. Ministry of Commerce
* Entry-Exit Inspection and Quarantine Bureau of AQSIQ is now enrolled into General Administration of Customs.

Establish State Medical Security Bureau
Integrate responsibilities from:
1. Ministry of Human Resources and Social Security
2. National Health and Family Planning commission
3. National Development and Reform Commission
4. Ministry of Civil Affairs.

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