During the second half of 2007，the pilot programs of urban residents’ basic health care insurance have been carried out throughout the country，indicating that China’s new health care reform has taken off. A three-tier public health care insurance system will take shape，and the universal coverage of health care insurance will be achieved over the near future. While China’s health security system moves towards universal coverage，the health care delivery system seems to be back to the planned system. Through intensifying the budgetary control，centralized government procurement of equipments，and planned system of producing and delivering essential drugs，as well as maintaining the power of appointing managerial personnel，health bureaus are attempting to retain comprehensive administrative control over all public health care providers. It is uncertain if China’s new round of health care reform will move towards a planned system or a managed marketization.