China is also enacting a counter-terrorism law aimed to improve intelligence gathering and the sharing of information across government bodies and among military, armed police and militia, and enhance international cooperation, said Lang Sheng, deputy head of the Legislative Affairs Commission of the National People's Congress (NPC), China's legislature.
China will set up the centre to coordinate and streamline intelligence gathering in the field, state-run Xinhua news agency reported.
China is facing a serious and complex situation against terrorism with more influence from "international factors", Lang said apparently referring to Xinjiang militants undergoing training in Pakistan's tribal areas as well as in Afghanistan besides taking part in Islamic State activities in Iraq and Syria.
The counter-terrorism law is of great significance in dealing with severe terrorist situations, improving work mechanism and prevention measures, and enhancing capabilities in fight against terror in order to safeguard state and public security as well as people's life and property, he said.
The draft bill also stipulates measures on Internet security management, the examination of transport, dangerous materials, terrorism financing prevention and border controls.
"Due to a lack of systematic laws in the field, the country's anti-terrorism work is incomplete, with measures not forceful," Lang said.
"Border police have stepped up efforts to prevent and combat such cases," state-run China Daily quoted an official as saying.