China Justice Observer

中司观察

EnglishArabicChinese (Simplified)DutchFrenchGermanHindiItalianJapaneseKoreanPortugueseRussianSpanishSwedishHebrewIndonesianVietnameseThaiTurkishMalay

China Amends Rules on Review of Concentrations of Undertakings

Mon, 29 May 2023
Categories: China Legal Trends

On 10 Mar. 2023, China’s State Administration for Market Regulation (SAMR) issued the amended Provisions on the Review of Concentrations of Undertakings (hereinafter the “Provisions”, 经营者集中审查规定).

This amendment comes only one year after China amended the Provisions in March 2022.7 Among others, the following points are noteworthy.

  • According to the Provisions amended in 2022, SAMR shall treat all operators equally when conducting anti-monopoly reviews of concentrations of undertakings. However, the Provisions amended in 2023 deleted the phrase of “treat equally” and replaced it with “classified and graded review”. It also provides that SAMR may separately formulate specific review measures for the concentrations of undertakings in important fields related to the national economy and people’s livelihood, etc., which means that new rules allow for the concentrations of undertakings in certain fields.
  • In order to reduce the actual or potential effect of a concentration in eliminating or limiting competition, the parties involved in the concentration may submit to the SAMR a proposal for commitments to impose a restriction, including behavioral restrictions such as (i) granting access to a network, a platform, or any other infrastructure; (ii) licensing a key technology (including patents, proprietary technologies, and other intellectual property); (iii) terminating an exclusive or monopolistic agreement; (iv) maintaining independent operations; (v) modifying platform rules or algorithms; and (vi) undertaking to be compatible or not to reduce the level of interoperability.
  • The Provisions amended in 2023 added regulation of anti-monopoly enforcement officer, which provided that employees of anti-monopoly law enforcement institutions who abuse their power, neglects their duties, engage in malpractices for personal benefits, or divulge trade secrets, personal privacy, or personal information known during law enforcement will be punished.

 

 

Cover Photo by Zetton Zhang on Unsplash

Contributors: CJO Staff Contributors Team

Save as PDF

You might also like

China Launches Gradual Retirement Reform

China's National People's Congress has approved a gradual increase in the statutory retirement age for men and women, set to begin on January 1, 2025, marking the first adjustment in over 70 years.

China Revises National Defense Education Law

In September 2024, the newly revised “National Defense Education Law of the People’s Republic of China” was passed by the National People’s Congress Standing Committee and came into effect on 21 September.

SPC Releases Typical Cases to Support Hong Kong Arbitration

In September 2024, China’s Supreme People’s Court (SPC) released six typical cases to demonstrate its support for Hong Kong arbitration, emphasizing judicial cooperation and the recognition of arbitral awards to foster international arbitration development.

SPC Sets Standards for Punitive Damages in Food Safety

In August 2024, China’s Supreme People’s Court (SPC) issued a judicial interpretation that addresses punitive damages in food safety cases, featuring typical cases to establish uniform standards and enhance consumer protection.

Authenticating Documents for Use in Chinese Courts: Apostille or Not?

The 1961 Apostille Convention, effective in China as of November 2023, simplifies the authentication of foreign documents for use in Chinese courts by replacing traditional consular legalization with apostille. Note that authentication is only required for certain types of documents under Chinese law, and the apostille process applies only when the 1961 Convention is relevant.

SPP Releases 2024 Mid-Year Case Data

In the first half of 2024, China's Supreme People's Procuratorate (SPP) reported significant increases in arrests and prosecutions, as well as a notable rise in retrials based on their recommendations in civil cases.