As drug registration applications grow dramatically in China, so will the CDE audits of drug manufacturing facilities according to the Center for Drug Evaluation (CDE). Earlier this year, the CDE set up a 3-tier system for audits of drug factories including low, medium, and high risk. Audits will primarily focus on high-risk facilities for all biologics, reconfigured new drugs, and new chemical drugs. GMP compliance will be required as well as the quality of the research data. Given limited auditing resources, the CDE will do audits at all high-risk factories, and a lot less inspection on medium to low-risk situations. If during the technical review, there are quality issues or inaccurate information, then the factory will be considered high risk for an additional 5 years. In addition, the accuracy and adherence to the GCP will also be more strictly watched for both CROs and drug companies.