Legal basis: Article 2 of the Regulations for the Implementation of the Drug Administration Law of People's Republic of China (PRC), the drug supervision and administration department of the State Council established a national drug inspection agency. The pharmaceutical supervisory and administrative departments of the people's governments of provinces, autonomous regions and municipalities directly under the Central Government may set up pharmaceutical inspection institutions within their respective administrative areas. The planning for the establishment of local drug inspection institutions shall be put forward by the pharmaceutical supervisory and administrative departments of the people's governments of provinces, autonomous regions and municipalities directly under the Central Government and submitted to the people's governments of provinces, autonomous regions and municipalities directly under the Central Government for approval. The drug supervision and administration department of the State Council and the people's governments of provinces, autonomous regions and municipalities directly under the Central Government may, according to needs, determine inspection institutions that meet the requirements for drug inspection to undertake drug inspection.