--- SEARCH ---
WEATHER
CHINA
INTERNATIONAL
BUSINESS
CULTURE
GOVERNMENT
SCI-TECH
ENVIRONMENT
SPORTS
LIFE
PEOPLE
TRAVEL
WEEKLY REVIEW
Film in China
War on Poverty
Learning Chinese
Learn to Cook Chinese Dishes
Exchange Rates
Hotel Service
China Calendar
Trade & Foreign Investment

Hot Links
China Development Gateway
Chinese Embassies

Making of Anti-trust Law Accelerated

Shang Ming, head of the Ministry of Commerce's new antitrust office, said at a Wednesday press conference that the antitrust law now being drafted will help to guarantee a fair and orderly market.

Shang, who is also the chief of the ministry's department of treaties and law, said the new legislation -- dubbed an "economic constitution" by legal professionals -- is expected to improve the country's competition legislation substantially.
 
Laws currently on the books include the Law Against Unfair Competition, the Price Law and the Law on Tendering and Bidding.
 
The draft antitrust law contains articles regulating monopoly agreements, abuse of dominant market status, large-scale consolidations and administrative monopolies. The draft has been submitted to the State Council's Legislative Affairs Office and distributed to various departments and local governments for comments, said Shang.

The law is on the legislative agenda of the 10th National People's Congress, whose tenure ends in 2008, but the draft requires further revision.

Concerns about the absence of an antitrust law are widespread. A report by the State Administration for Industry and Commerce in May indicated that some multinational companies are abusing their dominant positions in order to eliminate competition.

Shang said that the adoption of an antitrust law is not solely for the purpose of checking business monopolies: administrative monopolies, a major irritant for foreign companies in China, must also be reined in. A special chapter in the law is devoted to regulation of government-related monopolies.

Administrative monopolies and local protectionism are serious problems in China and threaten the establishment of a national market economy.

Local governments have a huge stake in fostering local enterprises, their main sources of tax and other revenue. Many have erected barriers that keep outsiders from entering local markets.
 
A researcher at the Institute of Legal Studies of the Chinese Academy of Social Sciences indicated that Shang's press conference was notable as the first official statement by the Ministry of Commerce on the drafting of the law.

The ministry set up the antitrust office in September to improve legislation and strengthen investigations.

The office, a temporary mechanism, is responsible for helping to draft the law, conducting investigations and discussing antimonopoly issues with international bodies and representatives.

The drafting of the antitrust law has dragged on for a decade, slowed by controversial issues and numerous revisions.

The specific department to be responsible for the law's implementation has yet to be decided. The Ministry of Commerce may be the most suitable authority, but the State Administration of Industry and Commerce also has a stake since it oversees the implementation of the Law Against Unfair Competition.

(China Daily October 28, 2004)

 

Anti-monopoly Office Established
Report: Anti-monopoly Law Vital
Revised Plan for Anti-monopoly Watchdog
Anti-Monopoly Law Tops the Agenda
Anti-monopoly Law to Benefit All
National Anti-monopoly Agency in the Pipeline
China Speeds up Reform in Monopoly Sectors
State Acts to Curb Regional Protectionism
Print This Page
|
Email This Page
About Us SiteMap Feedback
Copyright © China Internet Information Center. All Rights Reserved
E-mail: webmaster@china.org.cn Tel: 86-10-68326688