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Manufacturers who fail to recall or report substandard products face fines of up to 500,000 yuan ($74,530), under a draft regulation released yesterday.

The proposal by the General Administration of Quality Supervision, Inspection and Quarantine was drafted after the tainted milk powder scandal, in which six infants died and a further 296,000 were made ill.

It stipulates that manufacturers immediately recall products if they are found to be unsafe. They must also stop producing and selling the product.