China Issues Rules for Price-Related Antitrust Enforcement

On January 4, 2011, the National Development and Reform Commission ("NDRC"), one of China's three antitrust agencies, published two sets of implementing rules detailing how it intends to handle enforcement against price-related conduct under the Chinese Anti-Monopoly Law ("AML"). These new Anti-Price Monopoly Rules, covering both substantive prohibitions and procedure, become effective on February 1. They provide additional detail on price-related enforcement, which should make enforcement policies and procedures more transparent and assist companies in complying with the law.

The new Anti-Price Monopoly Rules

The substantive rules address so-called "price monopolies," which include (1) anticompetitive agreements relating to price, (2) abuses of dominant market position through conduct relating to the price of the firm's goods or services, and (3) "administrative monopolies relating to price," that is, anticompetitive conduct undertaken or coordinated