Fighting for Fairness

1. What have been some State Council competition initiatives issued over the past 12 months?

The State Council released the Opinions on the Establishment of a Fair Competition Review System in the Course of the Creation of the Market System (Opinions) on June 14, 2016. The Opinions target practices that prevent the development of a nationally unified and fair competition market, such as local protectionism, regional blockades, industry barriers, enterprise monopolies, preferential treatment in violation of laws or reductions in, or damage to, the interests of market players. They also specify the overall requirements and basic principles of the administrative review system. The Opinions also clarify the scope, method, standards, and exemptions for the scientific fair competition review system. This initiative shows that competition policy, rather than industrial, is a higher priority in China's economic plans and will play a significant role in further fostering a competitive culture. Following the Opinions, many local governments, including Jiangsu, Guangdong, Liaoning, Ningxia, and Chengdu, have circulated and published their own opinions or decisions for implementing the system. They have also established clear deadlines for evaluating and abolishing existing anti-competitive policies or regulations.
The fair competition review system is aimed at eliminating administrative monopoly at the source. Simply put, it prohibits the conduct of monopolistic acts by all government bodies and other organizations legally empowered to administrate public affairs.