In order to stimulate and develop the jewelry trade, the Chinese government has published some advantageous policy. According to the undertakings of China's WTO entry, the Chinese government positively adjust the correlative policy, the total average tariff declined from 15.3% in December 2001 to about 10% in 2004.In January, 2000, the People's Bank of China canceled silver system of monopoly for purchase and marketing, opened the silver market .In October, 2000 Shanghai Diamond Exchange had been established officially. In August 2003, Shanghai Gold Exchange got a license which can carry out platinum transaction officially. It symbolized that the Chinese jewelry raw materials and products are followed the current system into the market economy track. In May, 2003, the People's Bank of China stopped carrying out 23 administrative examinations and approvals project which includes the gold goods producing processing, wholesale, retail sale services. The customs are no longer relying on checking out the directive of the People's Bank of China. This stipulation simplified the trade export & import procedure of gold and its products processing. It stimulated the domestic gold, diamond import & export trade into a large growth. According to the concrete arrangement of CEA, since 1st.January, 2004, the mainland China would give the zero tariff preference to 374 tax items and about 4000 kinds of commodities, including jewelry which made in Hong Kong and Macao.

In the tax adjustment aspect, in view of the import diamond, the excise of diamond, import gold, platinum, etc are all have a series of corresponding tax policy and adjustment .These are not only cashing in the undertakings of the World Trade Organization and Shanghai APEC conference, but also the Chinese jewelry enterprise participate in the international competition as well as a important safeguarding in enhancing the competitive ability. At present, the Shanghai diamond department, Shanghai Diamond Exchange, Gems & Jewelry Association of China, the National territory Recourses Department -Gems & jewelry Administrative Centre have done a mass of work on the additional tax adjustment problem. Hope through the reasonable adjustment of diamond tax policy to promote the development of domestic diamond processing industry. At the same time, the Gems & Jewelry Association of China was entrusted by the National Custom Bureau to carry out the formulation work of "Chinese Diamond Processing Trade Single Consume Standard ", expect to better provide the loose policy environment and offer convenient for the Chinese diamond processing trade enterprise, promote the healthy development of Chinese diamond processing trade

In order to standardize and promote the development of the jewelry trade, the Chinese government had published a series of national standard and stipulation one after another, such as "The Name of Gems & Jewelry ", "Gems & Jewelry Appraisal".”Diamond Gradation" "Peal Gradation”, “Jewelry Marketing Management Stipulation”, “Jewelry Precious Metal purity Stipulation and Naming Method" ,etc. At the same time ,tried to give the full play to the trade unit for promoting the development of the trade ,enterprise right, especially play an important role on solving the product dump & counter product dump and international disputes. In 2003, Gems & Jewelry Association of China announced "Gems & Jewelry Trade Autonomy Joint Pledge" to the entire trade. At the beginning of 2004, Gems & Jewelry Association of China and National Industry & Commerce Administrative Bureau had commended 13 outstanding enterprises which obtained the good faith in current distribution realm quality surveillance inspection. It aims at building a fair, just honest and the code of horror market enviornment.