Anti-Monopoly Law of China explained

The Anti-Monopoly Law of China is the main legal statute that regulates competition law in the People's Republic of China. The National People's Congress passed it in 2007 and it came into effect on 1 August 2008.

The Anti-Monopoly Law provides a basis for investigating unreasonable intellectual property licensing fees.

History

China's first comprehensive antitrust law was the Anti-Monopoly law which was passed in 2007 and became effective in 2008.[1]

In June 2022, the final version of the revised Anti-Monopoly Law (AML) was released by the Standing Committee of the National People's Congress (NPCSC) of China. It specifically targets anti-competitive behavior facilitated by the application of technology, significantly increases the maximum fines for violations, and aims to prevent abuses by administrative organizations.

Enforcement

Before 2018, regulatory power for enforcing the Anti-Monopoly Law was split between the Ministry of Commerce (which regulated mergers), the National Development and Reform Commission (NDRC) (which conducted antitrust investigations), and the State Administration for Industry and Commerce (which also conducted antitrust investigations). Regulatory duties overlapped, and there was bureaucratic competition between these government bodies.

In 2018, the State Administration for Market Regulation was created, and it became China's primary antitrust regulator. It continues to have some overlap of responsibilities with the NDRC and the Ministry of Industry and Information Technology.

Landmark cases

There is no precedent case law in China. The judgements, especially those methodological or judicial examinations in the judicial rulings or opinions made by the high court or the Supreme Court in the landmark cases, are commonly studied by law practitioners, academic researchers and sometimes indirectly as a principle or guideline invoked by other courts in the subsequent cases.

Qualcomm

In February 2015, the National Development and Reform Commission (NDRC) completed an investigation into Qualcomm, finding that they violated the Anti-Monopoly Law by imposing unreasonable requirements for patent licensing.[2] The fine imposed on Qualcomm was equivalent to US$975 million.

See also

References

  1. Book: Zhang, Angela Huyue . High Wire: How China Regulates Big Tech and Governs Its Economy . . 2024 . 9780197682258 . 10.1093/oso/9780197682258.001.0001.
  2. Book: Cheng, Wenting . China in Global Governance of Intellectual Property: Implications for Global Distributive Justice . . 2023 . 978-3-031-24369-1 . Palgrave Socio-Legal Studies series.