China’s Anti-Monopoly Law
China’s anti-monopoly law is likely to be passed this week, after over a decade of wrangling, but may require national security checks for foreign firms that want to buy Chinese rivals. The new law prohibits use of administrative powers to disadvantage competitors, as well as banning monopoly agreements and abuse of a dominant market provision. The anti-monopoly law was drafted in 1994, but not submitted for first review until June 2006. It will finally come into effect on Aug. 1, 2008 if passed by the standing committee of China’s National People’s Congress.
