State Administration for Market Regulation: Focus on preventing and controlling "involution" competition in key industries and sectors such as platform economy, photovoltaics, lithium batteries, and new energy vehicles.

Source: People’s Finance and Intelligence | Author: Xu Qingtianmei

On March 30, People’s Finance and Intelligence reported that the State Administration for Market Regulation issued a notice on further implementing the Anti-Unfair Competition Law of the People’s Republic of China. The notice proposed conducting a comprehensive crackdown on “involution-style” competition. By applying various anti-unfair-competition measures comprehensively, it aims to focus on preventing and rectifying involution-style competition in key industries and fields such as the platform economy, solar photovoltaic, lithium batteries, and new energy vehicles. It calls for precisely identifying and lawfully investigating platform enterprises that, without proper justification, use methods such as search ranking, business evaluations, algorithm control, limiting traffic, removing products from shelves, increasing fees, delaying payment terms, suspending transactions, and internal penalties; or, during activities such as subsidies, preferential treatment, cash-back rewards, discounts, “spend-more-and-save-more” offers, “buy-and-get” promotions, and promotions, forcing or de facto forcing platform operators to sell goods at prices below cost, thereby disrupting the market competition order.

(Editor: Wen Jing)

Keywords:

                                                            Anti-involution