Review №31 of Chinese Antitrust News from the Experts of the BRICS Competition Centre
- Investigation Against Qualcomm
- Combating Involuntary Price Competition
- Bundeskartellamt Probe Into Chinese Temu
- Guidelines for the LLMs Use in Public Administration
Investigation Against Qualcomm
China’s State Administration for Market Regulation (SAMR) has initiated an antitrust investigation into Qualcomm after the company proceeded with its acquisition of Autotalks without submitting a merger filing to the regulator. Qualcomm had announced the planned transaction in May 2023. SAMR reviewed the merger and concluded that, although the deal did not meet the official filing thresholds, it could nevertheless restrict competition. On March 12, 2024, the authority sent Qualcomm an official notice requiring the company to file for approval, meaning the deal could not proceed without regulatory clearance. In response, Qualcomm stated it would abandon the acquisition. However, in June 2025, the company went ahead and completed the purchase of Autotalks. This action triggered the launch of the investigation. According to sources cited by the South China Morning Post (SCMP), Qualcomm could face a fine of approximately $700,000 for the violation.
Qualcomm is a U.S.-based company that designs and manufactures semiconductor chips for electronic devices — американская компания по разработке и производству микросхем для электронных устройств.
Autotalks is an Israeli company that produces communication chipsets for autonomous vehicles.
Combating Involuntary Price Competition
The National Development and Reform Commission (NDRC), together with the State Administration for Market Regulation (SAMR), has announced the need to combat unjustified pricing practices. It is emphasized that when setting prices, businesses must adhere to the principles of fairness, legality, and good faith, basing their pricing on costs as well as market supply and demand conditions. Companies are explicitly prohibited from submitting bids below cost in tender processes.
In industries with particularly intense competition, regulatory authorities may assess the average cost levels in order to provide reference data that companies can use when developing their pricing strategies.
Relevant regulatory bodies are also encouraged to conduct awareness campaigns, prevent violations, and take enforcement actions against offenders. Industry associations are entrusted with the responsibility of promoting self-regulation within their sectors to jointly uphold fair and orderly competition.
Bundeskartellamt Probe Into Chinese Temu
The German antitrust authority, Bundeskartellamt, has launched an investigation into the Chinese online marketplace Temu over suspicions that it may be influencing the pricing strategies of goods and service providers on its platform.
“We suspect that Temu may be imposing inadmissible conditions on sellers regarding their pricing policies in the German market,” said Andreas Mundt, President of the Bundeskartellamt. “This could constitute a serious restriction of competition and ultimately lead to higher prices on other sales channels.”.
Temu stated that it complies with all applicable laws and regulations in the markets where it operates: “We are confident that any related concerns can be successfully resolved.”
According to the authority, Temu currently has 19.3 million monthly active users (MAU) in Germany.
Source: Reuters
Guidelines for the LLMs Use in Public Administration
The Office of the Central Cyberspace Affairs Commission, in collaboration with the National Development and Reform Commission, has released guidelines on the implementation and application of large language models (LLMs) in public administration. The document aims to ensure the safe and controlled use of technologies, products, and services related to LLMs in the delivery of public services and the work of civil servants.
The guidelines emphasize several key aspects:
- Standardization: Careful selection of LLMs based on specific needs and technical capabilities, along with the development of unified application standards.
- Balanced deployment: Avoiding blind pursuit of technological advancement and innovation; clearly defining the boundaries of LLM usage so that the models serve only as assistants; mitigating risks such as hallucinations and related issues.
- Strict confidentiality: Prohibiting access to state secrets and sensitive information, and preventing data leaks.
- Education and awareness: Improving the digital literacy of government employees.
These principles are intended to guide the responsible integration of LLMs into public sector operations, ensuring both technological advancement and risk mitigation.
Source: CAC
