In China, the Central People's Government (2010) recently promulgated the "Compendium for China's Mid- and Long-Term Education Development," which declared that 95% of Chinese children should receive at least one year of preschool education, while 75% of children should receive a three-year preschool education by 2020. Subsequently, The State Council (2010) issued "The State Council's Several Suggestions Regarding Developing Preschool Education," which suggested the importance of improving the quality of, while ensuring children's equal access to, preschool education. This ongoing legislative reform of preschool education aims to institutionalize educational equity. Further, both legislations called for the establishment of a system to effectively evaluate the quality of preschool education in China. Therefore, improving the quality of all Chinese kindergartens through an effective quality rating system has become the focus of preschool education reform. In attempting to carry out these reform measures, Chinese early childhood education (ECE) scholars and policymakers have two main responsibilities. First, they must define what constitutes a quality preschool education in the Chinese sociocultural and policy context. Second, they must develop effective and appropriate tools, methods, and procedures to measure the quality of preschool programs. Both responsibilities have a profound impact on preschools and teachers, as quality rating is likely to be tied to funding formulation, incentives, and bonus pay--once the legislature endorses the system. The performance of and educational decisions made by schools and teachers will, in turn, impact the lives of millions of children. In order to aptly address these "high-stakes" issues, this article will provide: (1) background information on the Chinese preschool quality rating system; (2) a synthesis of literature regarding preschool program quality in China; (3) a discussion of existing challenges to preschool evaluation; and (4) suggestions for future research in carrying out the responsibilities of defining and measuring quality in the Chinese context.