China Monthly Antitrust & Data Protection Update - July 2020

ANTITRUST

LEGISLATION

National Healthcare Security Administration Issues Documents to Strike Malicious Monopoly and Bribery of Pharmaceutical Companies

On 5 June 2020, the National Healthcare Security Administration issued the Letter on Soliciting Comments on Guidance on the Establishment of Pharmaceutical Price and Procurement Credit Evaluation System (Draft for Comment) and the Letter on Soliciting Comments on Operating Specifications on Pharmaceutical Price and Procurement Credit Evaluation, in which behaviours of pharmaceutical companies in contravention of laws and regulations or in breach of good faith and fair competition in the process of pricing, marketing, bidding, and performance to the contract to obtain improper benefits are all included in the evaluation criteria, such as commercial bribery, abuse of market dominance, market price manipulation, breach of contract and disruption of procurement process, etc.¹