Recently , ten departments, including the State Administration of Traditional Chinese Medicine, jointly convened a meeting to launch a special campaign to address illegal and irregular practices in traditional Chinese medicine (TCM) medical practice. This year-long campaign will severely crack down on illegal medical practices under the guise of TCM health preservation and disease treatment, false advertising and live-streaming sales using the name of TCM, and illegal use of medical insurance funds, among other illegal and irregular activities that harm the health rights of the public.
In the short term, some small and medium-sized TCM institutions and health preservation companies that rely on false advertising, illegal medical practice, and illegal insurance fraud will face closure and penalties, and related concept stocks may experience a short-term correction, impacting market sentiment to some extent. However, in the long term, the special campaign will eliminate the "bad apples" in the industry, break the drag on the industry's reputation caused by the chaos of pseudo-TCM, and create a fair competitive environment for compliant TCM companies.

https://www.nbd.com.cn/articles/2026-05-17/4396079.html