New revision takes into account tightened scrutiny of Chinese companies in overseas markets.
The State Administration for Market Regulation (SAMR) of China has released a revised draft of its Guidelines for Overseas Antitrust Compliance for Enterprises for public comment. The document aims to help Chinese companies better understand changes in overseas rules and guard against related legal risks.
Comments on the draft are due by September 29. The previous version of the guidelines was released in 2021.
Focusing on five main areas, the revision takes into account changes in antitrust legislation and enforcement practices in other countries. In particular, it reflects antitrust enforcers' growing attention to the digital economy in cases involving monopoly agreements, abuse of market dominance and concentrations of undertakings. The revision also clarifies the latest merger filing thresholds in jurisdictions such as the EU, the US and Germany.
Companies are also reminded to pay attention to foreign investment security review requirements and foreign subsidy review regimes. The SAMR noted that over the past five years, major jurisdictions worldwide have reformed their antitrust systems, stepped up enforcement and tightened regulation of digital platforms and cross-border mergers and acquisitions (M&A).
According to the Chinese regulator, the update is linked to the expanding scale of China's foreign trade and the accelerating "going global" drive of Chinese companies. At the same time, companies in a number of key industries are increasingly facing overseas antitrust investigations and lawsuits. The SAMR said the new guidelines will help companies identify risks in advance and better prepare for operations in foreign markets.
Particular attention is given to the EU and the US, China's second- and third-largest trading partners. Analysts noted that these markets are among the most sensitive for Chinese businesses due to the large number of antitrust investigations and litigation. More detailed rules should help reduce uncertainty in overseas investments and M&A transactions.
Jian Junbo, deputy director of the Center for China-Europe Relations at Fudan University's Institute of International Studies, told the Global Times that European authorities are placing increasing emphasis on competition issues, with antitrust enforcement and merger reviews becoming ever more stringent. Companies planning mergers, acquisitions or investments in Europe need to give these requirements close attention in advance to avoid compliance risks and associated financial losses, he said.
The revised draft of the SAMR guidelines also improves channels for rights protection and compliance advisory services. The document contains typical cases and a dedicated checklist for identifying risks, allowing companies to independently assess their overseas antitrust compliance systems and develop response procedures in advance, including for potential litigation.
Experts said the update signals a shift in China's policy from simply encouraging firms to "go global" toward a more controlled and sustainable international expansion.
Source: Global Times
