Photo shows the nameplate of National Anti-monopoly Bureau, which is in the same building of the State Administration for Market Regulation in Beijing. Photo: CFP

 
China's top market regulator investigated and handled 175 monopoly cases in 2021, a year-in-year increase of 61.5 percent. And, the offending business entities were fined a total of 23.59 billion yuan. 

According to the 2021 annual report on China's antitrust law enforcement released by the State Administration for Market Regulation (SAMR) on Wednesday, responsible authorities have worked non-stop to improve and strengthen relevant antitrust regulations while enhancing supervision mechanism and efficiency to create a fair, just and competitive market environment for domestic and international enterprises. 

Among the cases they handled, the regulators placed an emphasis on supervision of the internet-based platform companies to rectify their monopolistic activities.

For instance, Chinese giant platforms Alibaba and Meituan were fined 18.23 billion yuan and 3.44 billion yuan, respectively, for asking vendors to choose one platform over others to run their business, with both companies required to rectify their irregularities. 

The order of market competition has improved significantly thanks to the scrutiny by regulators. Merchants on the platforms, especially medium and small operators can now develop and expand with more options. 

Following the enhanced regulation over antitrust behaviors, the number of offending cases was dropping, Liu Dingding, a Beijing based veteran market analyst, told the Global Times on Wednesday. He added that the increase in handled cases represents the result of enhanced supervision, rather than the actual number of cases going up. 

The report said the regulation led to strengthened supervision of mergers and acquisitions for internet companies. For instance, SAMR ordered Tencent Music Entertainment Group to forego its exclusive rights to music labels in 2021 following its acquisition of China Music Group. The case has reshaped the competitive landscape for China's online music market.

To better serve the real economy, SAMR has strengthened antimonopoly law enforcement in key sectors such as healthcare, building materials and public utilities.

Moreover, SAMR strengthened international cooperation with members joining the China-proposed Belt and Road Initiative in 2021, which included signing memorandums of understanding with countries such as Singapore and Pakistan. The regulator also actively participated in international discussions and development of relevant international standards concerning market scrutiny.

Global Times