State Administration for Industry and Commerce, Provisions for the Prohibition by Administrations for Industry and Commerce of Acts of Monopolistic Agreements

Promulgated: December 31 2010
Effective: February 1 2011
Interpreting authority: State Administration for Industry and Commerce

Applicability: The term “monopolistic agreement” means an agreement, decision or other act of coordination that eliminates or restricts competition reached by business operators or arranged by an industry association among business operators in the industry and that violates Article 13, 14 or 16 of the PRC Anti-monopoly Law. (Article 2).

Main contents: Competing business operators are prohibited from reaching the following types of monopolistic agreements:

(i) the restriction of the production volume or sales volume of goods (Article 4);

(ii) the segmentation of the sales market or raw materials procurement market (Article 5);

(iii) the restriction of the purchase of new technologies or new equipment or the restriction of the development of new technologies or new products (Article 6); and

(iv) a joint refusal to trade (Article 7).

Related legislation: PRC Anti-monopoly Law, Aug 30 2007, CLP 2007 No.8 p.28