Decision of the Standing Committee of the National People's Congress on Amending the Anti-Monopoly Law of the People's Republic of China

Decision of the Standing Committee of the National People's Congress on Amending the Anti-Monopoly Law of the People's Republic of China
Decision of the Standing Committee of the National People's Congress on Amending the Anti-Monopoly Law of the People's Republic of China

Order of the President of the People's Republic of China No. 116

June 24, 2022

The Decision of the Standing Committee of the National People's Congress on Amending the Anti-Monopoly Law of the People's Republic of China, adopted at the 35th session of the Standing Committee of the 13th National People's Congress of the People's Republic of China on June 24, 2022, is hereby announced and shall come into force on August 1, 2022.

Xi Jinping, President of the People's Republic of China

Decision of the Standing Committee of the National People's Congress on Amending the Anti-Monopoly Law of the People's Republic of China

(Adopted at the 35th session of the Standing Committee of the 13th National People's Congress on June 24, 2022)

The 35th session of the Standing Committee of the 13th National People's Congress has decided to amend the Anti-Monopoly Law of the People's Republic of China as follows:

1. Article 4 shall be amended to read: “The leadership of the Communist Party of China shall be adhered to in anti-monopoly work.
“The State shall, in adherence to the market-based principle and the rule of law, enhance the status of the competition policy as a basic policy, formulate and implement competition rules that are compatible with the socialist market economy, improve macro-control, and establish a unified, open, competitive, and orderly market system.”

2. A new article shall be added as Article 5, which reads: “The State shall establish a sound fair competition review scheme.
“Administrative agencies and organizations authorized by laws or regulations to perform the function of administrating public affairs shall conduct fair competition reviews when formulating any regulations that involve market participants’ economic activities."

3. A new article shall be added as Article 9, which reads: “Business operators must not exploit any data or algorithms, technology, capital advantages or platform rules or otherwise to engage in any monopolistic conduct prohibited by this Law.”

4. A new article shall be added as Article 11, which reads: “The State shall improve the anti-monopoly rules and regime, step up anti-monopoly regulatory strength, improve regulatory capabilities and the level of modernization of the regulatory system, enhance anti-monopoly law enforcement and justice administration, adjudicate monopoly cases by law and in a fair and efficient manner, improve the mechanism that links administrative law enforcement to justice administration, and maintain the order of fair competition.”

5. Article 10 shall become Article 13, with the first paragraph thereof amended to read: “The State Council’s anti-monopoly law enforcement authority shall be in charge of centralized anti-monopoly law enforcement.”

6. The second paragraph of Article 13 shall become Article 16, and the first paragraph of Article 13 shall become Article 17.

7. Article 14 shall become Article 18, with two new paragraphs added thereto as the second and third paragraphs, which read respectively: “An agreement as specified in sub-paragraph 1 or 2 of the preceding paragraph will not be prohibited if the business operator can prove that it does not have the effect of excluding or limiting competition.
“Said agreement will not be prohibited if the business operator can prove that its market share in the relevant market is lower than the threshold set by the State Council’s anti-monopoly law enforcement authority and other conditions set by the State Council’s anti-monopoly law enforcement authority are also met.”

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