Abstract:Objective: To obtain the health production efficiency performance and its changing trend of China’s health system in recent years by adopting international comparison, and to provide policy recommendations to improve efficiency. Methods: This study describes the relative efficiency of health system in China by reporting the international ranking of health inputs and outputs indicators. We also employ total health expenditure per capita as input indicator and health outcomes as output indicators to construct frontier health production function, China ’’s health production function and marginal health production function using Data Envelopment Analysis and production function method. Results: In the past decade, the efficiency performance of China’s health system compared to efficient countries with similar health development level is between 65% and 73%. With the increasing trend of health investment, China’’s marginal health output has been declining and tends to be gentle. Conclusion: The current health production efficiency in China is relatively high. However, how to improve the efficiency and marginal health output is the focus of future health system reform under the background of rapid growth of total health expenditure.