SOURCE / ECONOMY
China’s market regulator intensifies crackdown on ‘involutionary’ competition
Published: Jul 07, 2026 10:43 PM
China's State Administration for Market Regulation Photo: VCG

China's State Administration for Market Regulation Photo: VCG

China's State Administration for Market Regulation (SAMR) has stepped up efforts to curb "involutionary" competition, launching 16 special campaigns focused on strengthening regulatory enforcement, deepening platform governance and improving source-level oversight, with 39 expected outcomes set to be delivered, the regulator said on Tuesday, according to China Media Group's report.

In the first half of this year, the SAMR launched a special campaign to improve the efficiency of antitrust reviews of business operator concentrations, completing reviews of 52 cases in sectors such as automobiles, photovoltaics and lithium batteries, where risks of "involutionary" competition were prominent, and supporting companies' mergers and acquisitions in accordance with the law, CMG reported.

In addition, through special campaigns to strengthen oversight of China Compulsory Certification) and raise entry standards for certification bodies, the regulator has shifted 16 types of products to third-party certification management, tightened requirements for designated certification bodies, strengthened reviews of technical capabilities, and optimized the qualification management of existing institutions.

A total of 11 certification bodies have had their approvals revoked, while 25 applications covering certification fields have been withdrawn. The regulator has also reviewed more than 10,000 certification rules and removed 1,700 non-compliant rules, according to the report.

Meanwhile, the SAMR launched a special campaign in 2026 to crack down on unfair competition, targeting violations such as false advertising, online smear campaigns and commercial defamation in key areas. The campaign has resulted in the handling of a number of typical cases, creating a strong deterrent effect.

In the first half of the year, authorities nationwide investigated and handled 11,465 unfair competition cases, including 2,005 cases involving false online advertising and online commercial defamation, according to the SAMR.

Tang Kexin, a deputy head of the SAMR's Department of Regulations, said the regulator plans to further improve rules for identifying improper pricing practices, including predatory low-price dumping, strengthen price regulation and enforcement tools, and refine the legal liability framework. The revisions are aimed at providing stronger regulatory measures to prevent companies from engaging in excessive price-cutting and "price wars" with no bottom line.

The SAMR is also planning targeted revisions to the measures for the implementation of the fair competition review regulations, focusing on improving review mechanisms, standardizing procedures and strengthening oversight. The move aims to enhance fair competition reviews of government policies, strengthen the fundamental role of competition policy, and provide stronger institutional safeguards for all market entities to compete on an equal footing.