Launch a series of measures targeting typical behaviors - How is the progress of comprehensive rectification of "internal competition"
2026-03-20
The more "rolled" the product, the lower the quality. A certain power bank manufacturing enterprise was investigated and punished for violating mandatory product certification regulations and false advertising; The more the platform becomes involved, the greater the pressure on merchants. Several food delivery platforms have been summoned due to the "subsidy war"... "Internal competition" is a form of low price, low-quality, and low-level competition that not only disrupts the market, reduces market resource allocation efficiency, erodes long-term competitiveness of enterprises, but also affects the optimization and upgrading of industrial structure and high-quality development. A series of measures have been launched since last year to address the typical "involution" behavior in market competition. How is the progress of the comprehensive rectification of "internal competition"? The reporter conducted an interview. Strengthen regulation on "internal competition" such as forced promotions and commercial defamation. The platform requires hotels to open a "price adjustment assistant". Once it is detected that our pricing is higher than other platforms, the room rate will be automatically lowered without notifying us. ”A hotel operator told reporters about their experience of being forcibly intervened in pricing by a certain platform. Recently, under regulatory pressure, the platform has taken down the "Price Adjustment Assistant" function, which has a positive significance in alleviating the "price competition" in the hotel industry. At the beginning of this year, the General Administration of Market Supervision issued the Guidelines on Anti monopoly Compliance of Internet Platforms, listing eight risk examples, such as "the lowest price of the whole network" and the platform sales below cost, to clarify the content and specific requirements of the compliance of Internet platform enterprises, which helps to improve market expectations, guide enterprises to operate legally and prevent problems before they happen. The revised Anti Unfair Competition Law in June 2025 strengthens the regulation of new and typical "involution" competition. For example, in response to the platform's violation of the wishes of platform operators, forcing price reductions and promotions, and even requiring the lowest price on the entire network, it is explicitly prohibited to force or indirectly force platform operators to sell goods at prices lower than cost according to their pricing rules, disrupting market competition order. In response to the behavior of some operators hiring "internet trolls" to maliciously defame other operators, filling the legal gap, and expanding the target of commercial defamation from "competitors" to "other operators", more comprehensively regulating relevant defamation behaviors. A series of institutional rules are constantly being improved, aiming to solve the problem of "internal competition" through practical measures and hard tactics. There are media reports on strengthening certification and supervision of products in the market that are clearly priced below cost. A consumer left their power bank on the sofa to charge and forgot to unplug it when leaving home, resulting in a tragedy in just 3 hours. Almost all items in the house were burned, causing heavy losses. Poor quality power banks are a typical example of the trend of "market competition and lower product quality", ultimately infringing on consumer rights. How to prevent the risk of product quality decline that may arise from "internal competition" among production enterprises? Yang Dong, Deputy Director of the Certification Supervision and Administration Department of the State Administration for Market Regulation, believes that mandatory product certification is an important means to reduce institutional transaction costs and safeguard the bottom line of product quality and safety. Under the pressure of "internal competition", the impulse of enterprises to reduce costs has increased, and the potential risks to product quality have further increased. Strengthening product consistency management has become a fundamental element in leveraging the role of mandatory product certification systems. The regulatory authorities will carry out a special action to "uphold the bottom line" of the mandatory product certification system. Strengthen the daily supervision of designated institutions for mandatory product certification, conduct continuous compliance checks on institutional capabilities and conditions, and establish a bi monthly scheduling mechanism for designated institutions for key products. To improve the level of refined management, certification bodies are required to strengthen risk identification, make good use of "cost accounting" methods, and strengthen certification supervision of products in the market that are significantly priced below cost. Develop management regulations for establishing certification quality directors and certification project quality managers for product certification agencies, and strengthen the implementation of responsibilities to individuals. Strengthen the inspection of raw materials and important components in the implementation of certification, and promote the improvement of enterprise quality assurance capabilities and product consistency levels. What policy measures have been introduced since last year to reduce disorderly competition in key industries, regulate local government behavior, and address "involution" behavior? In response to the phenomenon of "subsidy war" on the Internet platform, the Basic Requirements for Service Management of the Takeaway Platform was implemented, which stipulated the overall requirements for service management of the takeaway platform, including merchant management, price behavior, protection of the rights and interests of distributors, protection of consumers' rights and interests, as well as complaints, appeals and disposal, so as to improve service quality and reduce disorderly competition. In response to the phenomena of "emphasizing marketing over quality" and "low price and low quality" in the field of online sales, the "Guiding Opinions on Improving the Quality of Products and Services on Online Trading Platforms" provide institutional guarantees for promoting a virtuous cycle of "high quality and good price". In order to promote the high-quality development of new energy vehicles, lithium batteries, and photovoltaic industries, the State Administration for Market Regulation will deploy 167 national standards in the "new three types" field by 2025, which will be developed based on quality and safety, energy efficiency and energy consumption, and classification standards to promote the governance of "internal competition" among "new three types" enterprises. Zhu Meina, Deputy Director of the Standards and Technology Management Department of the State Administration for Market Regulation, introduced that as of the end of 2025, China has issued a total of 57 relevant national standards. The next step will be to further accelerate the development of relevant national standards, and use standards to lead the high-quality development of the "new three standards". Zhao Chunlei, Deputy Director of the Competition Policy Coordination Department of the State Administration for Market Regulation, introduced that the in-depth implementation of the fair competition review system and the strengthening of the abuse of administrative power to exclude and restrict competition enforcement are important measures to regulate government's improper intervention in market competition. In 2025, market regulatory departments at all levels have carried out a series of work in implementing a fair competition review system and strengthening administrative monopoly enforcement. Establish a sound system for fair competition review and further clarify the boundaries for government actions. Publish the Implementation Measures for the Regulations on Fair Competition Review, refining the 19 standards in 4 aspects stipulated in the regulations into 66 prohibitive situations. Revise the Regulations on Preventing the Abuse of Administrative Power to Exclude and Restrict Competition, increase the types of behavior, strengthen illegal punishment and accountability, and consolidate the institutional foundation for breaking down local protection and administrative monopolies. Next, the State Administration for Market Regulation will promote the deep implementation of the "Regulations on Fair Competition Review" in all regions and departments, continuously eliminate local protection and market segmentation, promote better integration of effective markets and proactive governments, thoroughly rectify "internal competition", and help promote the construction of a unified national market in depth. (New Society)
Edit:He Chuanning Responsible editor:Su Suiyue
Source:People's Daily
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