The operation targeted two "large criminal enterprises" involved which sold children for an average of about 40,000 yuan (4,300 euros) across 14 provinces, the Ministry of Public Security said in a statement.
Abductions and human trafficking have become serious public concerns after a string of revelations, including a shocking 2007 scandal in which thousands were forced into slave labour in brickyards and mines across China.
Some Chinese academics have blamed the country's "one-child" policy, which is aimed at controlling growth in China's population, the world's largest at 1.3 billion, for contributing to child trafficking.
At the beginning of the year when Yu Jianrong, a rural development and activist, launched a microblog to help parents find missing children. It went viral as parents jumped at the chance of finding missing kids, prompting the government to issue a new crackdown pledge.