China tightens management of e-commerce competition

VTV.vn - China has officially implemented the "Revised Law on Anti-Unfair Competition" since October 15, which includes many regulations related to the field of e-commerce.

These new regulations are expected to contribute to improving the situation of unfair competition on online sales platforms in the country of a billion people.

In recent years, many e-commerce platforms in China have been caught up in price wars with slogans such as "lowest price of the year" or "lowest price on the internet", even pressuring businesses to sell at low prices to attract customers.

To rectify this situation, China's revised Anti-Unfair Competition Law has added a provision requiring platforms not to directly or indirectly pressure businesses on their platforms to comply with their pricing rules to sell products below cost. Large businesses are also not allowed to take advantage of their position to impose unreasonable terms or delay payments for goods, services and other debts of small and medium-sized enterprises, according to the Beijing News.

The People's Forum website pointed out that the new Law also specifically regulates unfair competition practices such as data ownership infringement, and further clarifies many specific manifestations of "malicious transactions" in practice. Accordingly, businesses are not allowed to abuse the platform's rules to directly or instruct others to conduct fake transactions, fake reviews or malicious returns with the aim of causing damage to the legitimate rights and interests of other businesses.

Not only tightening relevant regulations, the new Law also clarifies the obligations of platform management entities to ensure fair competition.

According to Phuong Nam Daily, the new regulation requires e-commerce platform managers to clearly state the rules of fair competition in platform service agreements; when detecting business entities on the platform engaging in unfair competition, they must promptly apply necessary handling measures in accordance with the law, keep relevant records and report to competent authorities.

The Guangming Daily newspaper commented that the revised Law on Anti-Unfair Competition has directly addressed the core issues and removed difficulties in competition management in the digital economy . This will play an important role in the future development of China's digital economy and smart economy.

Source: https://vtv.vn/trung-quoc-siet-chat-quan-ly-canh-tranh-thuong-mai-dien-tu-100251027102205233.htm