Seven hundred toy factories have had their export licenses revoked following a nationwide inspection campaign of all 3,540 of the country's export-oriented toy firms that began in August, a senior official said Tuesday.
The figures were released by Li Changjiang, director of the General Administration of Quality Supervision, Inspection and Quarantine after meeting visiting EU Consumer Commissioner Meglena Kuneva in Beijing.
The licenses were revoked because the firms "failed to meet safety standards", Li said, without elaborating.
"After the inspection, the overall situation regarding the production of toys for export has been greatly improved," Li said.
Kuneva said the EU is impressed with the huge strides China has made in solving its product quality problems.
China, which launched its own crackdown on shoddy products and manufacturers following a number of safety scares last year, has upped its game when it comes to cooperating with Europe, she said.
Kuneva's visit was her third since July, when the safety of Chinese-made products was in the global spotlight.
She once threatened to ban imports from China if it did not act more aggressively to stop the manufacture of shoddy goods.
EU-Chinese cooperation on consumer was now paying dividends, she said.
"Starting from a low level, we have now enhanced cooperation that almost all of our notifications sent to China are now fully tracked, wherever possible," she said.
However, the EU will keep up its guard against shoddy products, and toys remain its top concern, she said.
"Our worries are very much evidence-based. Toys are a primary concern and we are addressing the situation through a road map to improve production from design to sales," she said.
"The next issue is electrical goods, especially those with low voltages, and we also have some worries about cosmetics, and bicycle tires," she said.
The latest figures show that RAPEX, Europe's rapid alert system for dangerous consumer products, reported 833 cases concerning Chinese goods last year, of which 400 involved toys. Dangerous chemical content and injuries caused by small parts were the major problems.
China exports some 22 billion toys globally every year, a quarter of which go to Europe.
Also yesterday, China and EU agreed to boost cooperation on consumer product quality. The two sides, along with the United States, are scheduled to meet to discuss the safety of consumer products in Beijing in September, and also in Brussels in November, Kuneva said.