The first issue faced by SAIC (State Administration for Industry and Trade) is retaining an appropriate degree of manpower. According to the permission from State Council, SAIC has established a specific bureau to cope with monopoly behavior, though its manpower is far from adequate to deal with nationwide AML cases. Based on the provisions of the AML, SAIC may empower its subsidiaries at the provincial level in order to help resolve specific cases. This means SAIC can take advantage of nationwide resources under the present system. However, the question of how to prevent localism and how to guarantee strict compliance with the AML presents a challenging answer.


The question of how to balance relations between administrative departments remains unanswered. Under the State Council, there are a number of ministries, general bureaus, and commissions, which are at the same level as SAIC and some of which truthfully represent the interests of their specific sectors. The end result is conundrum.

Additionally, even for some state-owned enterprises, there are competitors in the relevant market, though their management is decided by regulatory departments, perhaps even by the State Council. In order to punish certain administrative departments and some state-owned enterprises, SAIC should take account of factors both within and outside the legal realm. The practical solution is for SAIC to give proposals to administrative departments regarding their violation of the AML and then suggest how to correct the prohibited actions.

Finally, the absence of specific procedures for enforcement of the AML is another problem for SAIC. Fortunately, SAIC has recognized this and has begun to draft an investigation procedure.