It is unclear whether the central government can sever the long-standing ties between local officials and businesses.
Senior officials identified the coal mining industry as an area of particular concern.
October saw a 26 per cent rise in coal mine accidents and a 44 per cent rise in related deaths compared with the corresponding month from the previous year.
Nearly 6,000 workers died in coal mining accidents last year.
The government says it is looking to close down unsafe mines by 2010.
The regulations also target those who fail to implement national safety policies or laws, those who grant approval to operators who have not followed safety procedures, and those who cover up or delay accounts of accidents.