Kyodo News:

In 2021, the SAMR imposed an administrative penalty on Alibaba Group according to China's anti-monopoly law for the company's abusing its dominant position in the country's online platform market. What's the current situation of China's anti-monopoly work in the online platform market? Thank you.

Luo Wen:

Thank you for your question. Recently it has been a question of common concern. Ms. Gan Lin will answer your question.

Gan Lin:

Thank you for your interest regarding China's anti-monopoly work. Just now, Mr. Luo Wen stressed in his remarks that we have always laid equal emphasis on regulating supervision and promoting development. Also, we have continued to optimize the order of market competition through law enforcement in the field of the platform economy, and further stimulated the innovation vitality and development momentum of platform enterprises and small- and medium-sized enterprises on these platforms.

Let me illustrate this for you. Our law enforcement methods consist of tiered supervisory measures, which include not only administrative penalties but also cautionary talks, administrative guidance, and regulatory guidance. These measures combine to form our regular anti-monopoly supervision. By comprehensively applying these measures according to specific problems, the level of competition within the platform economy has been enhanced. Our work mainly focuses on the following three aspects.

First, we have optimized regulations and rules. We have revised the Anti-Monopoly Law, introduced the Law Enforcement Rules and Regulations for Anti-monopoly Supervision over Internet Platforms, and amended supporting regulations such as the Regulations on Prohibiting Monopolistic Agreements and the Regulations on Prohibiting Abuse of Dominant Market Positions. By specifying provisions on the anti-monopoly supervision of internet platforms, the rules and regulations provide clearer and more definitive guidelines for business entities. 

Second, we have strengthened compliant competition guidance. Besides investigating and punishing all forms of monopoly in accordance with the law, we have also urged platform enterprises to completely end monopolistic practices such as requiring businesses to pick sides, to earnestly implement rectification measures, and to improve compliance. Meanwhile, we have given full play to the warning and demonstration effects of typical cases to improve competition order in the market.

Third, we have constantly strengthened regular supervision. We have proposed to enhance the effectiveness of supervision throughout the entire process, from before, during, and after the event, with a full-chain approach. We have strengthened the assessment, monitoring and warning over market competition and optimized preventative supervisory measures to effectively prevent and defuse monopoly risks among internet platforms. This approach ensures fair competition and provides a favorable environment for the well-regulated, sound and sustainable development of platform enterprises. Thank you.