Since the initiation of the "reform and opening-up policy", China's preschool education policy and administration system have experienced a dramatic change from the enterprise/community based service system to the current social-oriented service system. This change has led to shortage of pre-school services and hence resulted in numerous problems of the pre-school education in China, such as insufficient supplies, low quality of services, and low coverage rate among vulnerable groups. It fails to meet the soaring social demands and expectations for preschool education, which has then become a social issue. This paper analyzes the Status of preschool education services, and reveals that establishing a national public preschool service system, to be based on the wide recognition of its positive external effects and the government responsibility, is essential to the achievement of the related goals set up by the National Middle/Long-Term Education Reform and Development Plan (2010-2020), and is also consistent with the evolution pattern of the Chinese public service system. Furthermore, this paper provides policy recommendations on government input and action priorities, and makes statistical predictions on preschool service coverage trend, and discusses the feasibility and effectiveness of the proposed government interventions. [ABSTRACT FROM AUTHOR]