China's transition from a centrally planned economy to a market economy has substantially eroded the government's support for child care programs, raising concerns about how the change of child care provision may affect women's labor market outcomes. In this article, we provide an overview of child care reform in China and estimate the impacts of child care availability and affordability on women's labor force outcomes and child care choices. Our analysis shows that the presence of day care programs in a community is positively associated with mothers' labor force participation and labor hour supply, while the wages for babysitters and nannies are negatively related with mother's labor hour supply. The analysis also shows that the wages for babysitters and nannies and family incomes have important effects on the use of out-of-home child care services. Using the estimates from the regressions of labor force outcomes, we simulated the effects of change in day care presence and the costs of hired caregivers in the postrestructuring period. The results indicate that the decrease of day care availability was an important cause of the declining labor force participation of mothers with preschool children during the public-sector restructuring, which accounted for nearly half of the decline between 1997 and 2000. (author abstract)