Enforcement Under China’s Anti-Monopoly Law: So Far, So Good?

With the launch of the Opening-Up and Reform Policy in the late 1970’s, China has undertaken the difficult transition from a planned economy to a market economy. In parallel with the significant economic reforms, China's legal system has been remodelled. The Anti-Monopoly Law is a key law in China’s effort to lay out the legal framework for an effective market economy.

Each of the three antitrust enforcement agencies in China has achieved progress, and private litigation in courts is evolving quickly. Nonetheless, as China’s transition has not been completed, it is natural that antitrust enforcement encounters considerable challenges. The lawsuit against the General Administration of Quality Supervision, Inspection and Quarantine, the questions raised in relation to the China Unicom/China Netcom merger and the issue in the TravelSky case illustrate some of these challenges.

China should continue its efforts to increase the effectiveness of antitrust enforcement. In particular, it is necessary to raise the awareness in society about the concept of competition and the importance of competition policies, and to improve the authorities' antitrust enforcement capabilities.