Adrian Emch, Feb 28, 2011
Decoding the New Chinese Antitrust Rules
Virtually in parallel with the arrival of the Chinese New Year, five new regulations implementing the Anti-Monopoly Law (“AML”) came into effect on February 1, 2011. The regulations were published by the National Development and Reform Commission (“NDRC”) and the State Administration for Industry and Commerce (“SAIC”) on January 4 and 7, respectively.
NDRC and SAIC are two of China’s triumvirate of antitrust authorities. Both have jurisdiction to enforce the AML’s conduct rules – i.e., against anticompetitive agreements and abuse of dominance. NDRC is in charge if the anticompetitive conduct relates to pricing, while SAIC is responsible for anticompetitive conduct not related to pricing. Both authorities can also take action against certain types of government conduct with anticompetitive outcomes – i.e., abuses of administrative powers to eliminate or restrict competition, more commonly known as “administrative monopolies.”
In the first two articles of this edition, NDRC and SAIC staff introduce the new regulations in their respective areas of jurisdiction. Zhou Zhigao and Wan Jiang (NDRC) give an overview of NDRC’s antitrust practice, including its enforcement actions, normative efforts, and international cooperation. Their article includes a discussion of the types of cases currently handled by NDRC and the principles guiding the regulator’s enforcement procedure. The article by the Anti-Monopoly and