Market Supervision Administration: comprehensively rectify "internal competition"
Notice on Further Implementing the Anti-Unfair Competition Law of the People's Republic of China by the State Administration for Market Regulation. The notice points out the need to comprehensively rectify "internal competition" and implement various measures against unfair competition, focusing on preventing and combating "internal competition" in key industries and sectors such as platform economy, photovoltaics, lithium batteries, and new energy vehicles. It is necessary to accurately identify and investigate platform companies that, without justifiable reasons, use methods such as search rankings, business evaluations, algorithm control, traffic restrictions, product removal, price increases, payment delays, transaction suspensions, internal sanctions, etc., or force or indirectly force operators within the platform to sell goods below cost through subsidies, discounts, vouchers, promotions, etc., disrupting market competition order. When determining the illegality of individual cases, it is necessary to consider various factors such as the nature of the transaction, production scale and type, market and sales situation, production efficiency and technology, and the quality of goods or services. The responsibility of platform operators to handle unfair competition behaviors must be enforced, urging platforms to clarify fair competition rules internally, establish specialized working mechanisms, accept reports and complaints, handle disputes, promptly take necessary measures to handle unfair competition behaviors, keep relevant records, and report to law enforcement agencies to prevent platform operators from interfering with the independent business rights of operators within the platform due to improper management of audits.
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