China to curb excessively low bidding in government procurement

BEIJING, Jan. 21 (Xinhua) -- China's Ministry of Finance on Wednesday issued a notice to curb the practice of excessively low bidding in government procurement.

The notice is set to take effect on Feb. 1, 2026. It will help curb involution-style competition in government procurement, and foster a sound market order where quality is duly rewarded with fair pricing.

Under the notice, procuring entities should set reasonable price ceilings to lay a solid foundation for competitive bidding among suppliers, and they should also configure reasonable procurement packages.

During oversight inspections or the handling of complaints, should financial authorities identify that bid evaluation committees have failed to conduct mandatory reviews of abnormally low bids, they will take corrective measures and hold the responsible evaluation experts legally accountable.

Procuring entities should take responsibility for organizing performance acceptance procedures in accordance with the law, ensuring reviews cover the fulfillment of all technical and commercial requirements as specified in the contracts.