A Study on the Enforcement of the Antimonopoly Law in China – with the Focusing Set on Business Mergers
1. Background of Study
China has become the second largest economic entity in the world, after the US. Its every single move has a significant effect on Taiwanese businesses. The Antimonopoly Law enforced has given related authorities the power to impose penalties against monopolistic practices, and it can also be used as a weapon to protect Chinese enterprises or retaliate against foreign businesses. In the past, Taiwanese businesses have suffered great losses as a result of different interpretations of antimonopoly laws in Europe and North America. Therefore, it is necessary to establish a better understanding of related Chinese laws and the Chinese government’s attitude in antimonopoly law enforcement.
2. Methods and Process of Study
This study is intended to provide a clear description of the overall development of the competition law system in China and current regulations, with the focus set on business mergers. The organization and reviewing procedure of the competent authority of the Antimonopoly Law are described in detail. It is hoped that the information gathered and the analyses performed can be of help to academic studies on competition law and also facilitate the efforts to enhance the concept of fair trade among industries and consumers and in academic circles.
3. Study Conclusions
The development of the competition law system in Taiwan and China, besides it was necessary to establish guidelines in certain aspects of the economic progress, has initially been the result of international pressure. The Fair Trade Law in Taiwan covers both competition restriction and unfair competition practices; hence, it belongs to consolidated legislation. In the Chinese competition law system, illegitimate competition and antimonopoly laws have been legislated separately. Neither approach is better or worse than the other. What is important is that the division of enforcement work, composing elements, and range of application in the enforcement are explicitly defined and there is no contradiction.