New Regulation on Chinese Government Procurement and the lmpact Go back »

2025-10-28 | All chapters

On September 30, 2025, China’s State Council officially issued the Notice on Implementing Domestic Product Standards and Related Policies in Government Procurement (Guobanfa [2025] No. 34, hereinafter referred to as the “Notice“), which clearly outlines major adjustments to the evaluation mechanism for domestic products in government procurement.

The policy takes effect on January 1, 2026, and its content remains largely consistent with the draft released for public comment in December 2024. A key provision states that products manufactured or substantially processed within China are eligible for a 20% price evaluation advantage in competitive government procurement. For foreign-invested enterprises (FIEs) already operating in China or planning to enter the Chinese government procurement market, this policy has far-reaching implications. It may alter FIEs’ eligibility for specific public projects, reshape supply chain layouts, and influence decisions regarding product localization.

Please view the full article from D'Andrea & Partners here .

Source: D'Andrea & Partners