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anti monopoly law of the people's republic of china
Chapter I General Provisions Article 1 This Law is formulated in order to prevent and stop monopolistic behaviors, protect fair competition in the market, improve the efficiency of economic operation, safeguard consumers' interests and social public interests, and promote the healthy development of the socialist market economy. Article 2 This Law is applicable to monopolistic behaviors in economic activities of the People's Republic of China. This Law is applicable to monopolistic behaviors outside People's Republic of China (PRC) that have the effect of eliminating or restricting competition in the domestic market. Article 3 Monopoly acts as stipulated in this Law include:

(a) the operator reached a monopoly agreement;

(two) the operator abuses the dominant position in the market;

(3) Concentration of business operators that have or may have the effect of eliminating or restricting competition. Article 4 The state formulates and implements competition rules that are compatible with the socialist market economy, strengthens macro-control and improves a unified, open and orderly market system. Article 5 Operators may, through fair competition and voluntary association, implement concentration according to law, expand their business scale and improve their market competitiveness. Article 6 Operators with dominant market position shall not abuse their dominant market position to exclude or restrict competition. Article 7 The state protects the legitimate business activities of operators in industries where the state-owned economy holds a controlling position, which are related to the lifeline of the national economy and national security, and industries which are monopolized according to law, supervises and manages the business activities of operators and the prices of their commodities and services according to law, safeguards the interests of consumers and promotes technological progress.

Operators of the industries specified in the preceding paragraph shall operate in accordance with the law, be honest and trustworthy, be strictly self-disciplined and accept public supervision, and may not use their control position or monopoly position to harm the interests of consumers. Eighth administrative organs and organizations authorized by laws and regulations to manage public affairs shall not abuse their administrative power to exclude or restrict competition. Article 9 An anti-monopoly committee shall be established in the State Council, which shall be responsible for organizing, coordinating and guiding the anti-monopoly work and perform the following duties:

(1) To study and formulate relevant competition policies;

(two) to organize the investigation and evaluation of the overall market competition, and issue an evaluation report;

(3) Formulating and issuing anti-monopoly guidelines;

(4) Coordinating anti-monopoly administrative law enforcement;

(five) other duties stipulated by the State Council.

The composition and working rules of the State Council Anti-monopoly Committee shall be stipulated by the State Council. Article 10 The institutions that the State Council stipulates to undertake anti-monopoly law enforcement duties (hereinafter referred to as the State Council anti-monopoly law enforcement agencies) shall be responsible for anti-monopoly law enforcement in accordance with the provisions of this Law.

The State Council's anti-monopoly law enforcement agencies may, according to the needs of their work and in accordance with the provisions of this Law, authorize the corresponding agencies of the people's governments of provinces, autonomous regions and municipalities directly under the Central Government to be responsible for anti-monopoly law enforcement. Eleventh trade associations should strengthen industry self-discipline, guide industry operators to compete according to law, and maintain market competition order. Article 12 The term "business operators" as mentioned in this Law refers to natural persons, legal persons and other organizations engaged in commodity production, business operation or providing services.

The term "relevant market" as mentioned in this Law refers to the commodity scope and geographical scope in which operators compete for specific commodities or services (hereinafter referred to as commodities) within a certain period of time. Chapter II Monopoly Agreements Article 13 Competing operators are prohibited from reaching the following monopoly agreements:

(1) Fixing or changing commodity prices;

(2) limiting the production or sales of commodities;

(3) Dividing the sales market or the raw material purchasing market;

(4) restricting the purchase of new technologies and equipment or the development of new technologies and products;

(5) boycotting transactions;

(six) other monopoly agreements recognized by the anti-monopoly law enforcement agencies in the State Council.

Monopoly agreements mentioned in this Law refer to agreements, decisions or other concerted actions that exclude or restrict competition. Article 14 A business operator is prohibited from reaching the following monopoly agreements with the counterparty:

(1) Fixing the price of goods resold to third parties;

(2) Limiting the lowest price of goods for resale to third parties;

(three) other monopoly agreements recognized by the anti-monopoly law enforcement agencies in the State Council. Article 15 The provisions of Articles 13 and 14 of this Law shall not apply if the operator can prove that the agreement reached falls into one of the following circumstances:

(1) Improving technology and researching and developing new products;

(two) in order to improve product quality, reduce costs and improve efficiency, unify product specifications and standards or implement professional division of labor;

(three) in order to improve the operating efficiency of small and medium-sized operators and enhance their competitiveness;

(four) in order to achieve energy conservation, environmental protection, disaster relief and other social and public interests;

(five) due to the economic downturn, in order to alleviate the serious decline in sales or obvious overproduction;

(six) to protect the legitimate interests in foreign trade and foreign economic cooperation;

(seven) other circumstances stipulated by laws and the State Council.

Where the provisions of Articles 13 and 14 of this Law are not applicable to the situations mentioned in Items 1 to 5 of the preceding paragraph, the business operator shall also prove that the agreement reached will not seriously restrict the competition in the relevant market and enable consumers to share the benefits arising therefrom.