Considering the difficulties and challenges faced by the medical and health services in China, as well as the features and advantages of traditional Chinese medicine (TCM), the State Council Information Office of the People's Republic of China issued White Paper-Traditional Chinese Medicine in China, and the 25^th Meeting of the Standing Committee of the 12^th session of the National People's Congress of the People's Republic of China approved the Law of the People's Republic of China on Traditional Chinese Medicine. The White Paper and the Law of the People's Republic of China on Traditional Chinese Medicine have further established the position and role of the TCM in the medical and health services in China. This paper introduced the challenges for the medical and health services, the characteristics of TCM theory, and described the equal importance of TCM and western medicine in the maintaining and improving people's health.