August 2013

Authored by Michael Gu (michaelgu@anjielaw.com), Moon Wang (wanglingling@anjielaw.com)

1.   Overview 

On July 29, 2013, the 5th anniversary since the Anti-Monopoly Law (“AML”) came into effect, the State Administration for Industry and Commerce (“SAIC”) announced that the antitrust case publishing platform was officially opened. This platform publishes, for the first time since the implementation of the AML, all 12 anti-monopoly administrative penalty decisions that the SAIC has investigated and concluded. The AML and related regulations does not necessarily require that the SAIC publicly release the results of its antitrust case investigations. Therefore, the fact that the SAIC has, on its own initiative, decided to use this online platform to publish antitrust cases for the public to view illustrates the SAIC’s laudable openness and progress on law enforcement transparency.

 

In the July 29th afternoon press conference, Ren Airong, the director of the SAIC Anti-Monopoly and Anti-Unfair Competition Law Enforcement, said that since the AML came into effect on August 1, 2008, the SAIC has received a number of complaints in regards to alleged monopolistic behavior in the past 5 years. After combing through, the cases were classified into different categories. For some cases where there are signs of monopoly or minor monopoly issues, the parties are supervised and required to timely rectify the matter. For some major cases, the SAIC organizes a task force or commissions the local Administration for Industry and Commerce (“AIC”) to conduct an investigation for verification. For cases that meet the terms of authorization, the provincial AICs are authorized to file and conduct an investigation.

 Continue Reading Five Years On: SAIC’s Anti-Monopoly Law Enforcement Review

Authored by Michael Gu(michaelgu@anjielaw.com), Moon Wang (wanglingling@anjielaw.com)

Background                

Following a sweep on baby formula manufacturers and the packaging giant (i.e. Tetra Pak), the young but powerful Chinese antitrust watchdogs have probed gold jewelers in Shanghai and the Shanghai Gold & Jewelry Industry Association (the “Industry Association”). The National Development and Reform Commission (“NDRC”) and the Shanghai Development and Reform Commission (“SDRC”) allege that the Industry Association and its major members have been manipulating the retail prices of gold jewelry in the Shanghai area. It is reported that 13 major members of the Industry Association, including Shanghai-based gold companies Lao Feng Xiang, Lao Miao Jewelry, Shanghai Yuyuan, world’s biggest jewelry retailer-Hong Kong’s Chow Tai Fook, and Chow Sang Sang, were among those probed. It’s said several jewelers have submitted reports to the antitrust agency admitting their wrongdoings. In contrast, Chow Tai Fook has officially denied their involvement in the alleged manipulation of gold retail prices in Shanghai, claiming that they have their own gold pricing mechanism. They further explained that their mechanism determines the gold price in accordance with international bullion price and the prices of their gold products are uniform across China with no regional differences.Continue Reading Jewelers among the Antitrust Storm