China Drafts Five Domestic Product Standards for Government Procurement

On October 30, 2026, China issued, for public comment, its first batch of domestic product standards in its implementation of rules to define “domestic products” under its Government Procurement Law. China’s Ministry of Industry and Information Technology (MIIT) and Ministry of Finance (MOF) jointly launched a public consultation on five draft domestic product standards for government procurement. The five products covered in this first set of products for domestic product standards are portable Fourier transform infrared (FTIR) gas analysers, reverse osmosis water treatment equipment, field emission scanning electron microscopes, fixed articulated industrial robots, and small and medium-sized helicopters. The draft standards require 50% to 70% of the total cost of the components of these products to be manufactured in China. This post outlines China’s requirements for “domestic products” and provides highlights of the five draft product-specific standards.

China’s 2003 Government Procurement Law requires the purchase of domestic products in government procurement. To implement that requirement, China defined “domestic products” in a Notice on Implementing Domestic Product Standards and Related Policies in Government Procurement, which become effective on January 1, 2026. Those rules require a product to meet three cumulative conditions to qualify as a “domestic product”: (i) it must be manufactured within China’s territory; (ii) the cost of its components produced in China must account for a specified proportion of the product’s total cost; and (iii) specific products must meet particular requirements regarding key components and critical manufacturing processes. Domestic products are granted price evaluation preferences, specifically, a 20% price deduction is applied to bids offering domestic products, and the resulting adjusted price is used in the evaluation process.

The rules also require MOF and other regulators to develop domestic product-specific standards and to provide for a three-to-five-year transition period to allow for gradual compliance. In developing these standards, China committed to broad consultation with domestic and foreign-invested enterprises, industry associations, and chambers of commerce.

Consistent with its commitment, MIIT and MOF indicated that they had conducted in-depth research and surveys on domestic product standards and engaged in extensive consultations with domestic and foreign-invested enterprises, industry associations, and chambers of commerce to gather a broad range of perspectives. In selecting the five products in the first batch of standards, they were guided by criteria such as strong potential to drive industry development, sufficient scale in government procurement, industry consensus on the classification of primary and secondary components, and a well-developed domestic industrial and supply chain ecosystem.

For each of the five products, they set out the standards for domestic products. Each standard defines the scope and coverage of the product, lists its primary and secondary components that are the basis for calculating the proportion of costs for component that must be manufactured within China, and the factors underlying the calculations, and the transition period for the implementation of the standard following its issuance.

Key elements of the draft domestic standards for the five products are:

–Portable Fourier transform infrared (FTIR) gas analysers: 7 primary and 26 secondary components; at least 70% of the total cost of these components must be derived from production within China; a five-year transition period.

–Reverse osmosis water treatment equipment: 6 primary and 22 secondary components; at least 70% of the total cost of these components must be derived from production within China; a five-year transition period.

–Field emission scanning electron microscopes: 7 primary and 41 secondary components; at least 50% of the total cost of these components must be derived from production within China; a three-year transition period.

–Fixed articulated industrial robots: 4 primary and 19 secondary components; at least 70% of the total cost of these components must be derived from production within China; a three-year transition period.

–Small and medium-sized helicopters: 15 primary and 38 secondary components; at least 60% of the total cost of these components must be derived from production within China; and a three-year transition period.

The two-week period for comments is October 30, 2026 to November 13, 2026.

The Chinese agencies have not indicated when another batch of domestic standards might be issued.

Jean Heilman Grier

November 9, 2026