The son-in-law of late leader Deng Xiaoping was named a minister in a round of reshuffles announced by the State Council yesterday.
Wu Jianchang was appointed Vice-Minister of the Metallurgical Industry.
Mr Wu, husband of Deng's eldest daughter Deng Lin, moves from the presidency of one of the country's biggest industrial conglomerates, the state-owned China National Nonferrous Metals Industry Corporation.
The ministry might be demoted to a bureau or transformed into a company as part of a plan to streamline the bloated bureaucracy.
The council announced 11 new appointments and dismissed nine officials.
Song Chunhua, Mayor of Changchun city, Jilin province, and Beijing Vice-Mayor Zheng Yijun were named as vice-ministers of the Construction Ministry.