It is five years since China enacted an antimonopoly law, but the country’s relatively young antitrust regime is moving towards a more complete and enforced regulatory framework.
The country’s antitrust agencies have intensified regulatory enforcement actions against local and multinational companies, including slapping stiff penalties on manufacturers of infant formula, LCD panel and liquor for price-fixing, as well as investigations into graft and price-fixing in the pharmaceuticals industry.
The global business community is also witnessing the application of the law on merger and acquisition transactions. Companies, increasingly, need to understand what constitutes an antitrust violation in China and review their approach to regulatory affairs and compliance.