China: Contrast Table Of Anti-Monopoly Law Of The People's Republic Of China Before And After Revision

Before Revision

After Revision

Chapter I General Provisions

Chapter I General Provisions

Article 1 This Law is formulated to prevent and curb monopolistic acts, to protect fair market competition, to enhance economic efficiency, to safeguard consumers' interests and the public interest, and to promote the healthy development of the socialist market economy.

Article 1 This Law is formulated to prevent and curb monopolistic acts, to protect fair market competition, to encourage innovation, to enhance economic efficiency, to safeguard consumers' interests and the public interest, and to promote the healthy development of the socialist market economy.

Article 2 This Law applies to monopolistic acts in economic activities within the territory of the People's Republic of China; and applies to monopolistic acts outside the territory of the People's Republic of China that eliminate or restrict competition in China's domestic market.

Article 2 This Law applies to monopolistic acts in economic activities within the territory of the People's Republic of China; and applies to monopolistic acts outside the territory of the People's Republic of China that eliminate or restrict competition in China's domestic market.

Article 3 For the purposes of this Law, monopolistic acts include:

(1) monopoly agreements concluded between undertakings;

(2) abuse of dominant market position by undertakings; and

(3) concentrations of undertakings that have or may have the effect of eliminating or restricting competition.

Article 3 For the purposes of this Law, monopolistic acts include:

(1) monopoly agreements concluded between undertakings;

(2) abuse of dominant market position by undertakings; and

(3) concentrations of undertakings that have or may have the effect of eliminating or restricting competition.

Article 4 The state formulates and implements competition rules that are compatible with the socialist market economy, so as to improve macroeconomic regulation and perfect an integrated, open, competitive, and orderly market system.

Article 4 The leadership of the Communist Party of China shall be adhered to in anti-monopoly work.

The state adheres to the principles of marketization and the rule of law, strengthens the foundational status of competition policies as well as formulates and implements competition rules that are compatible with the socialist market economy, so as to improve macroeconomic regulation and perfect an integrated, open, competitive, and orderly market system.

Article 5 The State establishes the fair competition review system.

The fair competition review shall be conducted in the formulation of the rules involving the economic activities of market players by administrative agencies and organizations empowered by laws or regulations to perform the function of administering public affairs.

Article 5 Undertakings may, through fair competition and voluntary association, implement concentrations according to law, expand the scale of business operations and enhance market competitiveness.

Article 6 Undertakings may, through fair competition and voluntary association, implement concentrations according to law, expand the scale of business operations and enhance market competitiveness.

Article 6 Undertakings with a dominant market position shall not abuse such position to eliminate or restrict competition.

Article 7 Undertakings with a dominant market position shall not abuse such position to eliminate or restrict competition.

Article 7 With respect to the industries controlled by the State-owned economy and concerning the lifeline of national economy and national security or the industries implementing franchise according to law, the State protects the lawful business operations of the undertakings therein, and, in accordance with law, regulates and controls their business operations and the prices of their goods and services, in order to protect the interests of consumers and promote technological advance.

The undertakings of industries mentioned in the preceding paragraph shall lawfully operate, be honest and faithful, be strictly self-disciplined, accept social supervision, and shall not harm the interests of consumers by taking advantage of their controlling positions or their franchises.

Article 8 With respect to the industries controlled by the State-owned economy and concerning the lifeline of national economy and national security or the industries implementing franchise according to law, the State protects the lawful business operations of the undertakings therein, and, in accordance with law, regulates and controls their business operations and the prices of their goods and services, in order to protect the interests of consumers and promote technological advance.

The undertakings of industries mentioned in the preceding paragraph shall lawfully operate, be honest and faithful, be strictly self-disciplined, accept social supervision, and shall not harm the interests of consumers by taking advantage of their controlling positions or their franchises.

Article 9 Undertakings shall not use data, algorithms, technology, capital advantages and platform rules to engage in monopolistic acts prohibited by this Law.

Article 8 Administrative agencies or organizations empowered by laws or regulations to perform the function of administering public affairs shall not abuse their administrative power to eliminate or restrict competition.

Article 10 Administrative agencies or organizations empowered by laws or regulations to perform the function of administering public affairs shall not abuse their administrative power to eliminate or restrict competition.

Article 11 The state improves the system of anti-monopoly rules, reinforces the anti-monopoly regulatory force, enhances regulatory capacity and the level of modernization of regulatory system, strengthens the anti-monopoly law enforcement and judicial work, handles various monopoly cases in a fair and efficient manner according to law, improves the mechanism to link administrative law enforcement with judicial work, and safeguards the order of fair competition.

Article 9 The State Council shall establish the Anti-Monopoly Commission, which is in charge of organizing, coordinating and guiding anti-monopoly work and performs the following functions:

(1) studying and drafting relevant competition policies;

(2) organizing the survey and assessment of overall competition situations in the market, and issuing assessment reports;

(3) formulating and releasing anti-monopoly guidelines;

(4) coordinating the administrative anti-monopoly law-enforcement; and

(5) other functions as prescribed by the State Council.

The composition and working rules of the Anti-Monopoly Commission shall be specified by the State Council.

Article 12 The State Council shall establish the Anti-Monopoly Commission, which is in charge of organizing, coordinating and guiding anti-monopoly work and performs the following functions:

(1) studying and drafting relevant competition policies;

(2) organizing the survey and assessment of overall competition situations in the market, and issuing assessment reports;

(3) formulating and releasing anti-monopoly guidelines;

(4) coordinating the administrative anti-monopoly law-enforcement; and

(5) other functions as prescribed by the State Council.

The composition and working rules of the Anti-Monopoly Commission shall be specified by the State Council.

Article 10 The authorities responsible for the anti-monopoly law-enforcement specified by the State Council (hereinafter collectively referred to as the Anti-Monopoly Law Enforcement Authority of the State Council) is responsible for anti-monopoly law enforcement.

As needed for work, the Anti-Monopoly Law Enforcement Authority of the State Council may authorize the appropriate bodies of the people's governments of the provinces, autonomous regions, or directly governed municipalities to take charge of the relevant anti-monopoly law enforcement work in accordance with the provisions of this Law.

Article 13 The authorities responsible for the anti-monopoly law-enforcement specified by the State Council (hereinafter collectively referred to as The Anti-Monopoly Law Enforcement Authority of the State Council) is responsible for anti-monopoly unified law enforcement.

As needed for work, the Anti-Monopoly Law Enforcement Authority of the State Council may authorize the appropriate bodies of the people's governments of the provinces, autonomous regions, or directly governed municipalities to take charge of the relevant anti-monopoly law enforcement work in accordance with the provisions of this Law.

Article 11 Trade associations shall tighten industrial self-discipline, guide the undertakings in their respective industries to compete lawfully and safeguard the competition order in the market.

Article 14 Trade associations shall tighten industrial self-discipline, guide the undertakings in their respective industries to compete lawfully, operate in accordance with laws and regulations, and safeguard the competition order in the market.

Article 12 "Undertakings" as used in this Law refers to natural persons, legal persons, and other organizations that engage in the manufacture or trading of goods or in the provision of services.

A "relevant market" as used in this Law refers to the scope of goods or territories in which undertakings compete for specific goods or services (hereinafter collectively referred to as "goods") during a certain period of time.

Article 15 "Undertakings" as used in this Law refers to natural persons, legal persons, and other organizations unincorporated organizations that engage in the manufacture or trading of goods or in the provision of services.

A "relevant market" as used in this Law refers to the scope of goods or territories in which undertakings compete for specific goods or services (hereinafter collectively referred to as "goods") during a certain period of time.

Chapter II Monopoly Agreements

Chapter II Monopoly Agreements

Article 16 "Monopoly agreements" as used in this Law refers to agreements, decisions, or concerted actions that eliminate or restrict competition.

Article 13 Competing undertakings are prohibited from concluding the following monopoly agreements:

(1) that fix or change the price of goods;

(2) that limit the quantity of goods manufactured or sold;

(3) that divide the sales market or procurement market of raw materials;

(4) that restrict the purchase of new technology or new equipment or restrict the development of new technology or new product;

(5) that jointly boycott transactions;

(6) other monopoly agreements as determined by the Anti-Monopoly Law Enforcement Authority of the State Council.

"Monopoly agreements" as used in this Law refers to agreements, decisions, or concerted actions that eliminate or restrict competition.

Article 17 Competing undertakings are prohibited from concluding the following monopoly agreements:

(1) that fix or change the price of goods;

(2) that limit the quantity of goods manufactured or sold;

(3) that divide the sales market or procurement market of raw materials;

(4) that restrict the purchase of new technology or new equipment or restrict the development of new technology or new product;

(5) that jointly boycott transactions;

(6) of other types as determined by the Anti-Monopoly Law Enforcement Authority of the State Council.

"Monopoly agreements" as used in this Law refers to agreements, decisions, or concerted actions that eliminate or restrict competition.

Article 14 Undertakings are prohibited from concluding the following monopoly agreements with trading counterparties:

(1) that fix the price of goods resold to a third party;

(2) that limit the lowest price of goods resold to a third party;

(3) of other types as determined by the Anti-Monopoly Law Enforcement Authority of the State Council.

Article 18 Undertakings are prohibited from concluding the following monopoly agreements with trading counterparties:

(1) that fix the price of goods resold to a third party;

(2) that limit the lowest price of goods resold to a third party;

(3) of other types as determined by the Anti-Monopoly Law Enforcement Authority of the State Council.

The agreements as specified in subparagraphs (1) and (2) shall not be prohibited if the undertakings can prove the agreements do not have the effect of eliminating or restricting competition.

Where an undertaking can prove that its market share in the relevant market is lower than the standard set by the Anti-Monopoly Law Enforcement Authority of the State Council and that other conditions stipulated by the Anti-Monopoly Law Enforcement Authority of the State Council are met, the agreement shall not be prohibited.

Article 19 No undertaking may organize other undertakings to reach a monopoly agreement or provide them with substantive assistance for reaching a monopoly agreement.

Article 15 Where undertakings can prove that a monopoly agreement concluded has one of the following circumstances, the provisions of Article 13 and Article 14 of this Law do not apply:

(1) to improve technologies or to research and develop new products;

(2) to improve product quality, lower cost, or increase efficiency by unifying the specifications or standards of products or by implementing specialized division of labor;

(3) to increase the operating efficiency of small and medium-sized undertakings or to increase their competitiveness;

(4) to achieve energy conservation, environmental protection, disaster relief, and such other public interests;

(5) to mitigate the sharp decline in sales volume or obvious overproduction due to an economic recession;

(6) to safeguard the legitimate interests in foreign trade or in foreign economic cooperation;

(7) other circumstances prescribed by laws or the State Council.

Where the provisions of Article 17, the first paragraph of Article 18, and Article 19 of this Law do not apply due to the circumstances under subparagraphs (1) through (5) of the previous paragraph, the undertakings shall additionally prove that the agreement concluded will not seriously restrict competition in the relevant market, and that it will enable the consumers to share the resulting benefits.

Article 20 Where undertakings can prove that a monopoly agreement concluded has one of the following circumstances, the provisions of Article 13 and Article 14 Article 17, the first paragraph of Article 18, and Article 19 of this Law do not apply:

(1) to improve technologies or to research and develop new products;

(2) to improve product quality, lower cost, or increase efficiency by unifying the specifications or standards of products or by implementing specialized division of labor;

(3) to increase the operating efficiency of small and medium-sized undertakings or to increase their competitiveness;

(4) to achieve energy conservation, environmental protection, disaster relief, and such other public interests;

(5) to mitigate the sharp decline in sales volume or obvious overproduction due to an economic recession;

(6) to safeguard the legitimate interests in foreign trade or in foreign economic cooperation;

(7) other circumstances prescribed by laws or the State Council.

Where the provisions ofArticle 13 and Article 14 Article 17, the first paragraph of Article 18, and Article 19 of this Law do not apply due to the circumstances under subparagraphs (1) through (5) of the previous paragraph, the undertakings shall additionally prove that the agreement concluded will not seriously restrict competition in the relevant market, and that it will enable the consumers to share the resulting benefits.

Article 16 Trade associations shall not organize undertakings of the industry to engage in the monopolistic acts prohibited by this Chapter.

Article 21 Trade associations shall not organize undertakings of the industry to engage in the monopolistic acts prohibited by this Chapter.