Two departments: Strengthen supervision of the implementation of domestic product standards and related policies in government procurement

The Zhitong Finance App learned that on December 19, the Ministry of Finance and the Ministry of Industry and Information Technology issued opinions on implementing the “Notice of the General Office of the State Council on Implementing Domestic Product Standards and Related Policies in Government Procurement”. The opinion points out that supervision of the implementation of domestic product standards and related policies should be strengthened. Financial departments at or above the county level should strengthen coordination with relevant departments when handling complaints or carrying out supervision and inspection involving domestic product standards and related policies. If necessary, they can work with relevant departments such as local industry and information technology, and rely on professional institutions such as accounting firms to verify and assess the production site, process completion site, and component cost ratio, etc. of products and components. If suppliers are found to be counterfeiting domestic products, they will be dealt with seriously in accordance with the law and regulations. Relevant departments such as industry and information technology at or above the county level shall cooperate with the financial department in verifying and appraising matters relating to domestic product standards in accordance with the requirements of the “Notice”.

The original text is as follows:

Opinions on implementing the “Notice of the General Office of the State Council on Implementing Domestic Product Standards and Related Policies in Government Procurement”

Treasury [2025] No. 30

Each central budget unit, the finance department (bureau) of each province, autonomous region, municipality directly under the Central Government and planned separate municipalities, departments in charge of industry and information technology, the Xinjiang Production and Construction Corps Finance Bureau, and the Bureau of Industry and Information Technology:

In order to thoroughly implement the “Notice of the General Office of the State Council on Implementing Domestic Product Standards and Related Policies in Government Procurement” (Guofa (2025) No. 34, hereinafter referred to as the “Notice”) and accelerate the establishment of a unified, open, competitive and orderly government procurement market system, the following opinions are put forward.

I. Fully understand the importance of implementing domestic product standards and related policies in government procurement

The “Notice” is guided by Xi Jinping's ideology of socialism with Chinese characteristics in the new era, comprehensively implements the spirit of the 20th National Congress and the 20th Plenary Session of the Party, closely follows the requirements of high-quality development, combines China's development reality, and connects with high-standard international economic and trade rules. The “Notice” systematically puts forward work requirements for establishing a domestic product standard system in government procurement and supporting domestic products, providing an institutional basis for further ensuring that all types of business entities participate equally in government procurement activities.

The “Notice” is an important institutional innovation in the field of government procurement. It is also an important measure to optimize the business environment. It is also a practical action to implement national treatment for foreign-funded enterprises in the field of government procurement. It is of great significance in constructing a new development pattern where domestic and international dual cycles promote each other.

Implementing domestic product standards and related policies in government procurement is a long-term, systematic process. All departments in all regions should improve their standing, accurately grasp the core content of domestic product standards and related policies, further enhance their sense of responsibility and mission, and implement the requirements of the “Notice” in detail.

II. Comprehensive understanding of the content and requirements of implementing domestic product standards and related policies in government procurement

(1) Accurate definition of products manufactured in China. The “Notice” makes it clear that domestic products should be produced within China, that is, change the properties from raw materials and components to products within the customs territory of the People's Republic of China. Judging from the specific situation, products produced in special customs supervision areas such as domestic free trade zones and comprehensive free trade zones are products manufactured within China; medical device products that have obtained an approved medical device registration certificate issued by the drug supervision and administration department are products manufactured in China; other products are judged whether they are produced in China based on the actual situation.

(2) Scientifically formulate specific standards and requirements for domestic products. The Ministry of Finance, together with relevant industry authorities such as the Ministry of Industry and Information Technology, will classify policies and proceed steadily. Based on the characteristics of different industries and the actual development of China's industry, on the basis of fully soliciting opinions from relevant domestic and foreign enterprises, industry chambers of commerce associations, etc., the Ministry of Finance will formulate cost accounting requirements for components produced in China by product according to the enterprise product cost accounting system, etc., to clarify cost accounting rules, and set a reasonable transition period to ensure that the standards are in line with reality and are operable.

(3) Carefully review relevant supporting documents. The purchaser shall specify in the procurement documents the requirements for reviewing the completeness and accuracy of the “Declaration Letter on Conformity with Domestic Product Standards” (hereinafter referred to as the “Declaration Letter”) issued by the supplier. If the review finds that the meaning of the “Statement Letter” is unclear, similar matters are inconsistent with the statements in the tender (response) documents, or there are obvious typographical errors, etc., it shall request the supplier to make necessary clarifications, explanations or corrections in writing. If the “Declaration Letter” with clarification, explanation or correction still does not meet the requirements stipulated in the “Notice”, the relevant products provided by the supplier are deemed not to meet domestic product standards.

(4) Strengthen supervision of the implementation of domestic product standards and related policies. Financial departments at or above the county level should strengthen coordination with relevant departments when handling complaints or carrying out supervision and inspection involving domestic product standards and related policies. If necessary, they can work with relevant departments such as local industry and information technology, and rely on professional institutions such as accounting firms to verify and assess the production site, process completion site, and component cost ratio, etc. of products and components. If suppliers are found to be counterfeiting domestic products, they will be dealt with seriously in accordance with the law and regulations. Relevant departments such as industry and information technology at or above the county level shall cooperate with the financial department in verifying and appraising matters relating to domestic product standards in accordance with the requirements of the “Notice”.

(5) Strictly implement the relevant requirements for equal treatment of domestic and foreign enterprises. All regions and departments shall implement national treatment for foreign-funded enterprises in the field of government procurement in accordance with the law. If it is discovered that a brand is designated in government procurement activities or the place or owner of a brand registration is restricted, and suppliers are treated differently or discriminated by means of ownership, organizational form, shareholding structure, investor country or other unreasonable conditions, it shall be seriously dealt with according to law and regulations to ensure equal participation of foreign-funded enterprise products that meet domestic product standards in government procurement activities.

3. Take good care of implementation

(1) Strengthen policy guidance. Local finance departments at all levels should attach great importance to and carefully deploy this work, unify their ideological understanding through organizational training, policy presentations, etc., and formulate practical implementation measures. It is necessary to strengthen buyers' sense of responsibility, strengthen supervision and guidance for review experts and suppliers, summarize experiences and practices in a timely manner, create a favorable environment conducive to policy implementation, and ensure the smooth implementation of the “Notice”.

(2) Improve internal control mechanisms. Budget units at all levels should strengthen the main responsibilities of purchasers, further improve internal control systems, optimize internal work processes, embed domestic product standards and related policy requirements into all aspects of government procurement such as procurement requirements, procurement documents, procurement contracts, and performance acceptance, and ensure that policy requirements are implemented in government procurement starting January 1, 2026.

(3) Establish and improve interdepartmental coordination mechanisms. Local finance departments at all levels should actively strengthen communication with relevant industry authorities, promote the establishment and improvement of interdepartmental coordination mechanisms, focus on resolving professional certification issues involving domestic product standards disputes in handling government procurement complaints, supervision and inspection, and form joint efforts to protect the legitimate rights and interests of government procurement suppliers.

(4) Strengthen supervision and inspection. Local financial departments at all levels should strengthen supervision and inspection of parties involved in government procurement in implementing the requirements of the “Notice”, clear channels for complaints and remedies from suppliers, and hold units and responsible persons responsible for not implementing domestic product standards and related policies to account in accordance with the law and regulations.

Ministry of Finance Ministry of Industry and Information Technology

December 15, 2025

This article was selected from the “Ministry of Finance” official website, Zhitong Finance Editor: Feng Qiuyi.