The gasoline rotary combustion engine has been developed in China for more than 26 years. In this paper, the six technical key problems and the way to solve them are briefly reviewed. The most significant progress, i.e. the improvement on fuel economy is discussed in some detail, which is mainly the result of adopting the suggested induction and combustion systems. Service test and part of the research works done are described. It is felt that the performance of rotary combustion engines developed in China has reached the level suitable for production.